Tims China (aka Tim Hortons China) announced it has received commitments from institutional investors including affiliates of Cartesian Capital Group, Restaurant Brands International and Silver Crest Management to invest up to $94.5 million in a PIPE to support the merger with Silver Crest Acquisition. A portion of the PIPE will be complemented by an equity support agreement from Shaolin Capital Management.
TH International Limited is the parent company of the exclusive master franchise of Tim Hortons coffee shops for Restaurant Brands International.
Tims China also executed a letter of intent for a $100 million committed share facility with a global financial services firm. The facility will be governed by an ordinary share purchase agreement, under which the company will have the option to sell up to $100 million of its ordinary shares to the unnamed investor over a 36-month period;
Tims China and Silver Crest have further amended the merger and sponsor support agreements to:
Reduce the entry valuation of Tims China from $1.688 billion to $1.400 billion;
Contribute 50% of the sponsor’s shares and warrants to Silver Crest, thereby increasing the post-closing ownership of Silver Crest’s non-redeeming shareholders;
Deem the minimum cash requirement satisfied by the financings agreed to date; and
Extend the termination date of the merger agreement to June 30 for the SEC to complete its review of the proposed combination.
The deal was announced last August with a closing date at that time expected during the fourth quarter of 2021. Read more.
