Burger King 'holds' sale negotiations

Fast-food giant reportedly holds talks with 3i Group

Burger King has held sales negotiations with a number of potential buyers, according to reports.

The Wall Street Journal has revealed that British private-equity firm 3i Group has held talks with the fast-food chain, although it is currently unclear whether these discussions will result in a sale. Burger King is currently valued at around $2.26 billion (£1.46 billion).

The firm, which is the second largest hamburger outlet in the US, has seen sales drop following the economic downturn.

Last week, Burger King revealed that its global sales were down 2.3 per cent in 2010, compared with an increase of 1.2 per cent last year.

Rival company McDonald's has reported healthier figures, with worldwide sales in the second quarter up 4.8 per cent.

Burger King has been owned by private equity before, as a consortium comprised of TPG, Bain Capital and Goldman Sachs acquired it in 2002 for around $1.5 billion (£974 million).

The group still own just under a third of the firm.