Burger King is buying Canadian doughnut maker Tim Hortons. NEW YORK (CNNMoney)
The deal could be the latest example of a U.S. company buying a foreign company in order to move its legal home to that of the company it is acquiring, thus allowing it to pay corporate taxes at a lower rate.
Burger King's announcement does not make mention of the tax implications of its purchase of Tim Hortons (THI).
Burger King's (BKW) has arranged for $12.5 billion in financing to complete the deal, with $3 billion of that coming from Warren Buffett's Berkshire Hathaway (BRKA). Berkshire is only providing financing and will have no management role in the combined company.
First Published: August 26, 2014: 8:08 AM ET
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