Not one of the four bids submitted in last week's Burger King buyout auction was accepted by the chain parent company, Diageo. Sources close to the deal say the British beverage conglomerate declined to accept one of the bids offered last week--from Burger King CEO-backed Texas Pacific, Triarc Restaurants Group (owner of Arby's), Blackstone, or venture capital firm Hicks, Muse, Tate & Furst--because Diageo is hoping to sell the chain for somewhere in the $2.5 to $2.8 billion range.
Last week's bids fell between $2 to $2.5 billion, fair offers say industry insiders. Diageo is unlikey to get the price it's seeking, the same analysts say, in the face of Burger King's recent financial issues and ailing franchise system.
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