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Yum Brands sells Pizza Hut to LongRange Capital and Yum China
CNBC • • business
Key Points:
- Yum Brands announced the sale of Pizza Hut to private equity firm LongRange Capital for approximately $1.5 billion, excluding mainland China locations, which Yum China will acquire separately for about $1.2 billion.
- The combined deals are expected to generate net proceeds of around $2.3 billion for Yum after taxes and fees, with the sales anticipated to close in the third quarter pending regulatory approval.
- Pizza Hut has struggled in recent years, losing market share to Domino's and delivery apps, prompting Yum to seek strategic options and ultimately decide that selling the chain would best maximize shareholder value.
- This transaction ends Pizza Hut's long-standing association with Yum's other brands like Taco Bell and KFC, marking a significant shift since the chain was part of PepsiCo's restaurant portfolio before Yum was spun off.
- As of late 2025, Pizza Hut operated nearly 20,000 locations worldwide with $12.8 billion in annual system sales, with the U.S. and China being its largest markets.
