Restaurant Brands Brings One of 2023’s Biggest Loan Refinancings

Restaurant Brands International Inc. is selling a $4.16 billion leveraged loan in one of the biggest refinancing deals to hit the market this year, data compiled by Bloomberg show.

(Bloomberg) — Restaurant Brands International Inc. is selling a $4.16 billion leveraged loan in one of the biggest refinancing deals to hit the market this year, data compiled by Bloomberg show.

The JPMorgan Chase & Co.-led sale launched Wednesday, according to people familiar with the matter. Restaurant Brands, which owns several popular fast-food chains such as Burger King and Popeyes, will use proceeds from the seven-year loan — and a separate $1 billion secured debt offering — to refinance the entire $5.16 billion outstanding of a term loan due 2026. 

The leveraged loan market is expected to see a flurry of activity in the coming weeks, largely driven by acquisition funding. But refinancings have represented the bulk of the year’s sales — making up 54% of dollar volume, according to Bloomberg-compiled data.

In April, software company Internet Brands launched a $4.74 billion refinancing, which at the time was the biggest in at least two years, the data show. Wednesday alone has brought a handful of the transactions, with Iridium Satellite and Tamko Building Products each announcing refi deals. 

Lenders will hold an investor call for Restaurant Brands’ loan Wednesday at 2 p.m. New York time, and commitments are due Sept. 13 at 5 p.m. New York time, said the people, who asked not to be identified discussing a private transaction.

JPMorgan declined to comment, and Restaurant Brands didn’t immediately respond to requests for comment.

–With assistance from Michael Gambale.

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