Item 1.01. Entry into a Material Definitive Agreement.

Indenture

Overview


On April 7, 2020, 1011778 B.C. Unlimited Liability Company, an unlimited
liability company organized under the laws of British Columbia (the "Issuer"),
and New Red Finance, Inc., a Delaware corporation and a direct wholly owned
subsidiary of the Issuer (the "Co-Issuer" and, together with the Issuer, the
"Issuers"), each a subsidiary of Restaurant Brands International Inc., a
corporation organized under the laws of Canada (the "Company"), entered into an
indenture (the "Indenture"), by and among the Issuers, the guarantors party
thereto (the "Guarantors") and Wilmington Trust, National Association, as
trustee and as collateral agent, in connection with the issuance and sale by the
Issuers to J.P. Morgan Securities LLC and certain other initial purchasers of
$500 million aggregate principal amount of 5.750% First Lien Senior Secured
Notes due 2025 (the "Notes"). The Issuers expect to use the net proceeds from
the issuance of the Notes for general corporate purposes.
Interest; Ranking; Guarantees; Security
The Notes will mature on April 15, 2025, and bear interest at a rate of 5.750%
per annum, payable semi-annually in cash in arrears on April 15 and October 15
of each year, beginning on October 15, 2020. The Notes are first lien senior
secured obligations and rank (i) equal in right of payment with all of the
Issuers' existing and future senior debt, including borrowings under the
Issuers' existing term loan facilities and the revolving credit facility under
the Credit Agreement (collectively, the "Senior Secured Credit Facilities"), the
Issuers' 5.00% Second Lien Senior Secured Notes due 2025 (the "2025 Second Lien
Notes"), the Issuers' 4.375% Second Lien Senior Secured Notes due 2028 (the
"2028 Second Lien Notes" and together with the 2025 Second Lien Notes, the
"Existing Second Lien Notes"), the Issuers' 4.250% First Lien Senior Secured
Notes due 2024 (the "2024 First Lien Notes"), and the Issuers' 3.875% First Lien
Senior Secured Notes due 2028 (the "2028 First Lien Notes" and, together with
the 2022 First Lien Notes, the "Existing First Lien Notes" and together with the
Existing Second Lien Notes, the "Existing Secured Notes"); (ii) equal in right
of payment with all of the Issuers' existing and future first-priority senior
secured debt, including the Existing First Lien Notes and borrowings under the
Senior Secured Credit Facilities, to the extent of the value of the collateral
securing such debt; (iii) effectively senior in the right of payment to all of
the Issuers' existing and future unsecured senior debt and junior lien debt,
including the Existing Second Lien Notes, to the extent of the value of
collateral securing the Notes; (iv) senior in right of payment to all of the
Issuers' future subordinated debt; and (v) structurally subordinated to all
existing and future liabilities of the Issuers' non-guarantor subsidiaries.
The Notes are guaranteed (the "Guarantees") fully and unconditionally, and
jointly and severally, on a senior secured basis by each of the Issuers' wholly
owned restricted subsidiaries that guarantee the Issuers' obligations under
certain credit facilities (including the Senior Secured Credit Facilities).
The Guarantees will be the Guarantors' first-priority senior secured obligations
and will be (i) equal in right of payment with all of such Guarantors' existing
and future senior debt, including borrowings under and guarantees of the
Issuers' Senior Secured Credit Facilities and guarantees in respect of the
Existing Secured Notes and the existing notes of The TDL Group Corp. (the
"Existing THI Notes"); (ii) equal in right of payment with all of such
Guarantors' existing and future first-priority senior secured debt, including
the Existing First Lien Notes and the Existing THI Notes (which are secured by a
first-priority lien on the assets of The TDL Group Corp.) and borrowings under
and guarantees of the Senior Secured Credit Facilities, to the extent of the
value of the collateral securing such debt; (iii) effectively senior to all of
such Guarantors' existing and future unsecured senior debt and junior lien debt,
including guarantees in respect of the Existing Second Lien Notes, to the extent
of the value of the collateral securing the guarantees; and (iv) senior in right
of payment to all of such Guarantors' future subordinated debt.
Optional Redemption
The Issuers may redeem some or all of the Notes at any time prior to April 15,
2022 at a price equal to 100% of the principal amount of the Notes redeemed plus
a "make-whole" premium, plus accrued and unpaid interest, if any, to, but
excluding, the redemption date. The Issuers may redeem some or all of the Notes
at any time on or after April 15, 2022 at the redemption prices set forth in the
Indenture. In addition, at any time prior to April 15, 2022, up to 40% of the
original aggregate principal amount of the Notes may be redeemed with the net
proceeds of certain equity offerings, at the redemption price specified in the
Indenture.

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In connection with any tender offer for the Notes, including a change of control
offer or an asset sale offer, the Issuers will have the right to redeem the
Notes at a redemption price equal to the amount offered in that tender offer if
holders of not less than 90% in aggregate principal amount of the outstanding
Notes validly tender and do not withdraw such Notes in such tender offer.
Change of Control
If the Issuers experience a change of control, the Issuers must offer to
repurchase the Notes from the holders thereof at a purchase price equal to 101%
of their aggregate principal amount plus accrued and unpaid interest (including
additional amounts specified in the Indenture, if any), if any, to, but
excluding, the date of such repurchase.
Covenants and Events of Default
The terms of the Indenture, among other things, limit the ability of the Issuer
and its restricted subsidiaries to (i) incur additional indebtedness or
guarantee indebtedness; (ii) create liens or use assets as security in other
transactions; (iii) declare or pay dividends, redeem stock or make other
distributions to stockholders; (iv) make investments; (v) merge, amalgamate or
consolidate, or sell, transfer, lease or dispose of substantially all of the
Issuers' assets; (vi) enter into transactions with affiliates; (vii) sell or
transfer certain assets; and (viii) agree to certain restrictions on the ability
of restricted subsidiaries to make payments to the Issuers and their restricted
subsidiaries. These covenants are subject to a number of important conditions,
qualifications, exceptions and limitations that are described in the Indenture.
The Indenture provides for customary events of default (subject in certain cases
to customary grace and cure periods), which include payment defaults, a failure
to pay certain judgments and certain events of bankruptcy and insolvency. These
events of default are subject to a number of important qualifications,
limitations and exceptions that are described in the Indenture.
The foregoing summary of the Indenture does not purport to be complete and is
qualified in its entirety by reference to the complete terms of the Indenture,
filed as Exhibit 4.15 hereto, and the form of Notes, filed as Exhibit 4.15(a)
hereto, each of which is incorporated herein by reference.
Certain Relationships
The initial purchasers and their affiliates from time to time have provided in
the past and may provide in the future various financial advisory, investment
banking, investment management, principal investment, hedging and other
commercial lending services in the ordinary course of business to the Company
and its affiliates. In addition, affiliates of certain of the initial purchasers
are lenders and/or agents under the Senior Secured Credit Facilities and as such
are entitled to certain fees and expenses in connection therewith. The Issuers
expect to use the net proceeds from the issuance of the Notes for general
corporate purposes. The decision to distribute the Notes, including the terms of
the issuance of the Notes, was made through negotiations between the Issuers and
the initial purchasers.
Item 2.03. Creation of a Direct Financial Obligation or an Obligation under an
           Off-Balance Sheet Arrangement of a Registrant

The information included in Item 1.01 of this Current Report is incorporated by reference into this Item 2.03.

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Item 9.01 Financial Statements and Exhibits



(d)   Exhibits

  Exhibit                                   Description
  Number
                Indenture, dated as of April 7, 2020, by and among 1011778 B.C.
   4.15       Unlimited Liability Company, as issuer, New Red Finance, Inc., as
              co-issuer, the guarantors from time to time party thereto and Wilmington
              Trust, National Association, as trustee and as collateral agent.
  4.15(a)       Form of 5.750% First Lien Senior Secured Note due 2025 (included as
              Exhibit A to Exhibit 4.15).
    104       Cover Page Interactive Data File - the cover page XBRL tags are embedded
              within the Inline XBRL document

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