Buffett Sells His Stake in CIP Restaurants

Jimmy Buffett has sold his holdings of the Cheeseburger in Paradise restaurant chain to Outback Steakhouse, Inc., who previously held a 50% share in the chain.

Although he is giving up his ownership, Buffett will continue having a big say in the chain’s operations. Buffett and his company will continue to license to Outback the use of the Cheeseburger in Paradise name, and Outback will be free to use Buffett’s name, image and the song “Cheeseburger in Paradise.” In return, Outback will pay a royalty of 4.5 percent of restaurant sales to Buffett’s company. Outback previously had paid Buffett a royalty of 2 percent, the SEC filing says.

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