Fast food chain may be sold

Monday, Feb. 25, 2002 | 9:44 a.m.

LONDON -- Diageo's liquor cabinet is proving no home for the Whopper.

British drinks group Diageo PLC said Friday it's ready to sell or spin off Burger King Corp. and that it expects next month to start approaching potential buyers for the fast-food restaurant chain.

Diageo will decide "over the next few weeks" how best to uncouple itself from Miami-based Burger King, said Diageo spokeswoman Kathryn Partridge.

Among the options being considered are a management buyout, a sale to another company in the food business, and an initial public stock offering.

British analysts estimate Burger King to be worth around 1.6 billion pounds ($2.3 billion), with some suggesting that the business could sell for almost twice that amount.

archive