Business

Outback restaurant chain is for sale in Brazil

The deal includes about 100 Outback units, a Fleming's steakhouse unit, and 12 points from Abbraccio's Italian food chain

placa de uma unidade do Outback
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  • Valor Econômico newspaper found that all these brands sold BRL 1.4 billion in 2018 in the country;
  • And that the EBITDA (profit margin before interest, taxes, amortization and depreciation) would have grown only 7.9% in the first nine months of this year compared to the previous year.

According to the Brazilian newspaper Valor Econômico, the Outback restaurant chain is for sale in Brazil. Bank of America Merrill Lynch (BofA Merrill Lynch) was hired about three months ago to pursue interest in the asset after the US head office decided to divest itself of some business in the world, the newspaper reported.

Controlled by Bloomin ‘Brands, Outback has 1,500 multi-brand restaurants in about 20 countries and annual sales of $ 4 billion. These sales would have been virtually stagnant four years now.

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International investors interested in buying network operations worldwide would not be interested in the Brazilian operation, so the company is looking for a local investor. The deal includes about 100 Outback units, a Fleming’s steakhouse unit, and 12 points from Abbraccio‘s Italian food chain.

Valor Econômico found that all these brands sold BRL 1.4 billion in 2018 in the country and that the EBITDA (profit margin before interest, taxes, amortization and depreciation) would have grown only 7.9% in the first nine months of this year compared to the previous year.