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Stock impact report

Indian KFC and Pizza Hut operator DIL to merge with rival SFIL [Yahoo! Finance]

Yum! Brands, Inc. (YUM) 
Last yum! brands, inc. earnings: 4/29 07:00 am Check Earnings Report
US:NYSE Investor Relations: yum.com/investors
Company Research Source: Yahoo! Finance
The deal would combine two Yum! Brands franchisee operators in India and create one of the largest quick-service restaurant (QSR) players in the country. The merger will require the usual regulatory and statutory clearances and is expected to take around 12 to 15 months to become effective. It is planned to be implemented through a share-swap arrangement. Under the agreed ratio, DIL will issue 177 equity shares for every 100 equity shares of SFIL. Although the companies have not disclosed the deal value, various media reports have indicated a figure of $934m. Separately, Arctic International, a group company of DIL, is set to acquire about 18.5% of SFIL's paid-up equity share capital from the current SFIL promoters, with an option to assign this stake to a mutually agreed financial investor. Under arrangements linked to Yum! Brands' approval, DIL has agreed to actions described as accelerating the transformation and growth of the Yum! Portfolio. This includes agreed enhance Show less Read more
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