Popeyes shares pop on report of RBI bid

Shares in Popeyes Lousiana Kitchen were on the run following reports that the owner of Burger King had expressed interest in an acquisition.

Shares in the fast food chain known for its fried chicken popped as much as 15 per cent to $75.74 before trimming back some of those gains.

Earlier in the day, Restaurant Brands International had reported slowing sales growth in the previous quarter at both its Burger King and Tim Hortons restaurant brands. The company has faced intense competition plaguing the fast food industry, as consumers cut back on dining out and seek out healthier alternatives. It has been that speculated if RBI were to purchase Popeyes, its goal would be to take the brand international.

A representative of Restaurant Brands International declined to comment on “market rumors”. Shares in the company ended the day 4.3 per cent higher at $70.08.