Federal regulators in Ottawa have given the green light to Burger King Worldwide, Inc.’s takeover of Tim Hortons Inc. But the blockbuster deal for Canada’s iconic coffee chain still faces at least one more hurdle from the Canadian government.
“The bureau concluded that this transaction is unlikely to result in a substantial lessening or prevention of competition,” a statement from the Competition Bureau released Tuesday said.
Regulators justified their approval on the grounds that “a large number of competitors” still face off against Tims and Burger King in Canada, while there’s also “low barriers to entry in the fast food industry” for would-be rivals to join in.
Tim Hortons is the country’s biggest “quick service” chain with about 3,600 stores in Canada. Burger King has about 280 Canadian locations.
McDonald’s, the No.2 fast-food operator in Canada, has about 1,400 locations across the country.Read the Full Article