Bill Ackman's Special Purpose Entity Finally Makes Its Move

Bill Ackman

Photo: BigThink

An investment company started by hedge fund guru Bill Ackman bought a huge stake in Burger King in a deal announced late last night as the fast-food chain plans to return to the New York Stock Exchange.Justice Holdings Ltd., a “cash shell” company with the sole purpose of finding a business to buy, purchased a 29% stake Burger King Worldwide Holdings Inc. for $1.4 billion in cash from 3G Capital, the AP reported.

Ackman, who owns a 30% stake in Justice, started the investment vehicle with Nicolas Bergguen (aka ‘the homeless billionaire’) and Martin Franklin last year before taking it public in February 2011 (ticker symbol JUSH on the London Stock Exchange). 

Now that Justice has found a business to buy, it will suspend trading its shares on the London Stock Exchange and emerge as Burger King Worldwide on the New York Stock Exchange, according to the AP.

We first learned about Justice Holdings in February when Ackman pitched it at the Harbor Investment Conference as an investment idea.

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