Burger King India plans to raise Rs 1,500 crore via securities

While the company did not specify where the funds are intended to be used, Burger King India has been on a footprint expansion

Restaurant chain Burger King India on Wednesday said it plans to raise up to Rs 1,500 crore through further issuance of securities.

The board of directors of the company, at its meeting held on Wednesday, also approved increasing the authorised share capital to Rs 600 crore from Rs 550 crore, along with the changing of the name of the company from Burger King India Ltd to Restaurant Brands Asia Ltd, it said in a regulatory filing.

The company said the board approved raising of funds by way of further issuance of securities through public and/or private offerings, including preferential issue, qualified institutions placement, further public offer or any of the permissible modes in one or more tranches.

This will be for an aggregate amount not exceeding Rs 1,500 crore, subject to applicable laws and necessary shareholder and regulatory approvals, it added.

While the company did not specify where the funds are intended to be used, Burger King India Ltd has been on a footprint expansion.

Last month, it had announced making a binding offer to acquire an 83.24 per cent stake in BK Indonesia, which operates the Burger King brand in Indonesia, from its existing shareholders on a pre-money enterprise value of USD 183 million on a cash-free and debt-free basis.

Further, the company said pursuant to the confirmation and reservation of name by the Ministry of Corporate Affairs, Office of the Registrar of Companies, Central Processing Centre, the board also approved the change of the name of the company from 'Burger King India Ltd' to 'Restaurant Brands Asia Ltd', it added.

This will, however, be subject to the approval of the shareholders and other regulatory approvals, the company said, adding its board has decided to seek the approval of the members through a postal ballot.