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Jack in the Box to Acquire US Mexican Fast Food Chain Del Taco in USD 575m Deal
Wednesday 08 December 2021

US-based QSR chain Jack in the Box Inc. (NASDAQ: JACK) and US-based Mexican QSR chain Del Taco Restaurants, Inc. (NASDAQ: TACO) have entered into a definitive agreement pursuant to which Jack in the Box will acquire Del Taco for USD 12.51 per share in cash in a transaction valued at approximately USD 575m, including existing debt, the companies said.

Jack in the Box said that, while this price per share offers a premium to Del Taco shareholders, the company estimates that the transaction values Del Taco at a synergy adjusted multiple of approximately 7.6x trailing twelve months Adjusted EBITDA.

Founded in 1964, Del Taco serves more than 3m guests each week at its approximately 600 restaurants across 16 states.

99% of Del Taco restaurants feature a drive-thru, helping to achieve strong off-premise sales and a diversified daypart mix.

Jack in the Box and Del Taco will have more than 2,800 restaurants spanning 25 states.

BofA Securities is serving as exclusive financial advisor and Gibson, Dunn and Crutcher LLP is serving as legal advisor to Jack in the Box. Piper Sandler and Co. is serving as exclusive financial advisor and McDermott Will and Emery LLP is serving as legal advisor to Del Taco.

Jack in the Box Inc. (NASDAQ: JACK), based in San Diego, is a restaurant company that operates and franchises Jack in the Box restaurants, one of the nation's largest hamburger chains, with more than 2,200 restaurants in 21 states and Guam.

Founded in 1964, today Del Taco serves more than three m guests each week at its approximately 600 restaurants across 16 states.
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Date Published: 08/12/2021

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