Yum! Brands To Buy Habit Restaurants In $375 Mln Deal

(RTTNews) - Yum! Brands Inc. (YUM) said it agreed to acquire all of the issued and outstanding common shares of Habit Restaurants Inc. (HABT), which operates fast-casual concept The Habit Burger Grill, for $14 per share in cash or a total of about $375 million.

The company plans to fund the transaction using cash on hand and available borrowing capacity under its credit facilities. It expects to complete the transaction by the end of the second quarter of 2020.

Yum! Brands expects minimal impact to non-GAAP earnings per share before special items in 2020, with accretion beginning in 2021 and increasing thereafter.

Founded in California in 1969, The Habit Burger Grill offers a flavor-forward variety of made-to-order items uniquely chargrilled over an open flame.

The Habit Burger Grill will remain based in Irvine, Calif., and will continue to be managed by The Habit Burger.

Grill's President and chief executive officer Russell Bendel and Chief Financial Officer Ira Fils.