Dunkin' Brands, the parent company of Dunkin' and Baskin-Robbins, is sold. The company and prospective buyer Inspire Brands issued a binding merger statement at the end of October, both companies announced. The purchase will take the form of a share purchase for $106.50 per share, and Inspire Brands will also assume Dunkin' Brands' debt. Together, the companies estimate the value of the transaction at $11.3 bn (approx. €9.7 bn).
is a multi-brand restaurant company
, majority owned by private equity firm Roark Capital. The portfolio
so far includes the chains Arby's, Buffalo Wild Wings, Sonic Drive-In and Jimmy John's
. According to the company, the system sales of the Inspire brands amount to $15 bn annually, and with 11,000 outlets the company considers itself one of the largest restaurant companies in the world.
With the acquisition of
the Dunkin' brands Dunkin' and Baskin-Robbins, Inspire's unit portfolio
grows by approximately 20,500 stores
(approximately 12,500 Dunkin', 8,000 Baskin'-Robbins). The two brands will continue as independent brands after the transaction.
Transaction by the end of the year
Under the terms of the merger agreement
approved by both parties, Inspire Brands
will acquire all of the outstanding shares of Dunkin' Brands at a fixed price of $106.50
per share. This represents a premium of approximately 20 percent over the October 23rd share price. In a second step, the company will then acquire at the same price the shares that were not sold in the first offer. The transaction is expected to be completed by the end of the year.
"Dunkin' and Baskin-Robbins are leaders in their category.
With a 70-year history, they are two of the most outstanding restaurant brands in the world," said Paul Brown
, co-founder and Chief Executive Officer of Inspire Brands
. "By joining Inspire, these brands will expand our current portfolio. In addition, they will strengthen Inspire through their scaled international platform
and consumer product licensing infrastructure
. We are also attracting more than 15 million members from their loyalty programs. We are pleased to welcome the employees, franchisees and suppliers of Dunkin' and Baskin-Robbins to the Inspire family. Dunkin' Brands CEO Dave Hofmann
added: "We believe that Inspire Brands, an outstanding franchise restaurant operator, will continue to drive growth for our franchisees while remaining true to all that is unique and special about the Dunkin' and Baskin-Robbins brands.
About Dunkin' Brands
Dunkin' Brands is the parent company of the coffee and donut chain Dunkin' (until 2019 Dunkin' Donuts) and the ice cream chain Baskin-Robbins. Dunkin' Donuts was founded in Massachusetts in 1950 and Baskin-Robbins in Glendale, California in 1945. The Dunkin' Brands business model is 100% franchise based. In 2019 there were more than 21,000 locations worldwide (Dunkin': >13,000, of which more than 9,600 were in the USA, Baskin-Robbins: >8,000). The company's worldwide system sales were valued at more than 12 billion US dollars, 9.2 billion US dollars of which in the USA.