020832 Sale of Burger King Clears Antitrust ReviewAugust 23, 2002Washington - Federal antitrust regulators cleared the proposed dlrs 2.26 billion sale of Burger King Corp., the world's second-largest fast-food business, to a consortium of U.S. investors. The Federal Trade Commission said it ended a required review period early because it didn't find anticompetitive problems with the deal. Britain's Diageo PLC said last month that it would sell Burger King to three venture capital firms led by Texas Pacific Group. The trio also includes Boston-based Bain Capital and Goldman Sachs Capital Partners, the private equity arm of U.S. investment bank Goldman Sachs. Bain has experience with the fast-food franchise business from its ownership of the Domino's Pizza chain. Diageo, the world's largest producer of alcoholic beverages, is turning its focus to popular liquor brands such as Johnny Walker Scotch and Smirnoff Vodka. Diageo aims to close the Burger King sale in the fourth quarter. McDonald's is currently the fast-food market leader, with Burger King in second place. Analysts have said the sale will be positive for the fast-food industry, because Diageo's heavy reliance on discounts and promotions at Burger King led to price wars and lower profit margins. Burger King's headquarters will remain in Miami and no corporate layoffs are foreseen, company officials have said.
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