Turkish Burger King Operator Is Said to Delay New York IPO Plan

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Burger King’s biggest franchisee outside the U.S., TFI TAB Gida Yatirimlari AS, postponed its plan to list shares in New York because it didn’t see IPO conditions as favorable enough, people with knowledge of the matter said.

The Turkish company’s initial public offering will happen when market conditions improve, said the people, who asked not to be named because the details aren’t public. A representative of TFI TAB Gida declined to comment.

The Istanbul-based company was planning to go public as early as next year, people familiar with the matter said in September. It filed with the U.S. Securities and Exchange Commission on Nov. 13 for a listing of American depositary shares.

While American depositary shares have gained 13 percent since offerings by global companies in the past 12 months, ADRs listed by companies based in the Middle East and Africa have fallen 9 percent, according to data compiled by Bloomberg.

TFI owns the Restaurant Brands International Inc. burger chain franchise through its TAB Gida unit. It operated 1,822 restaurants at the end of September, including 766 in China and and 1,056 in Turkey, rising from 1,623 at the end of 2016, according to the company’s prospectus.

Last year, Goldman Sachs Group Inc., Credit Suisse Group AG and the European Bank for Reconstruction & Development invested $150 million for almost 10 percent of TFI, valuing the company at about $1.5 billion.

Proceeds from the IPO had been earmarked to repay a $75 million loan in 2013 from Yapi Kredi Bankasi AS, boost working capital and go toward corporate purposes, according to the prospectus. Morgan Stanley, Credit Suisse and Goldman Sachs were leading the offering of the company, which also has franchises of Popeyes, Sbarro and Arby’s in its portfolio.

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