Burger King’s acquisition of the Hamburger Guys franchise in Wisconsin could create a burger-loving chain that serves burgers and fries to diners and has a market value of more than $1 billion, a person familiar with the matter told Reuters.
The deal could create the country’s largest hamburger chain and one of the world’s largest burger-shops, according to the person, who was not authorized to discuss the deal publicly.
The person said the deal could close in the first quarter of 2019.
Powers Hamburger is a family-owned franchisee with a total of more 30 locations.
It sells hamburgs to more than 100,000 customers across the country.
It also has franchises in New York, Chicago, Los Angeles and Philadelphia.
The Hamburger Girls franchise in Iowa opened in 2008.
Burger King and Hamburger Guy, the two restaurants in Wisconsin, are both owned by Hamburger Group of America Inc. Hamburger has been buying hamburges in New Jersey since 2007.
Burger King is buying a chain of 19 restaurants in the United States and has more than 800 franchised locations, according the person.
The person was not sure whether Burger King planned to expand into the United Kingdom, which has around 3 million people, or to India, where it has a smaller number of locations.
Bururger King declined to comment on the details of the deal.
In an interview with Reuters, Powers Hamburgers chief executive Mike Storck said the company plans to open 20 new restaurants in North America and 10 new restaurants overseas.
The company has a 20 percent stake in the Hamburghers, according a person with knowledge of the matter.
Burlington-based Powers Hamburst, which operates more than 2,500 locations nationwide, is one of Burger King Group’s largest franchisees.
In recent years, it has acquired more than 1,500 burger-sellers, including some in Canada.