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Tara Lachapelle

Popeyes's Eye-Popping Deal

The fried-chicken chain's growth potential may make it worth the high price.

Louisiana fast, Wall Street lavish. 

Restaurant Brands International Inc. -- the company formed from the 2014 merger of Burger King and Tim Hortons -- is now paying top dollar to acquire Popeyes Louisiana Kitchen Inc. amid slow-moving progress in achieving its own growth goals. The $1.8 billion transaction values the fried-chicken chain at more than 6 times the revenue it generated last year. That's the highest sales multiple ever paid for a North American restaurant company, according to data compiled by Bloomberg. At 21 times Ebitda, the takeover valuation is on the expensive side by that measure as well.