Pizza Hut Sold to New Owners for $2.7 Billion: What to Know

Pizza Hut has changed hands in a deal worth $2.7 billion, ending Yum Brands’ three-decade ownership of the global pizza chain.

Yum sold the business outside mainland China to private equity firm LongRange Capital for $1.5 billion. A separate $1.2 billion transaction transferred management of Pizza Hut in mainland China to Yum China Holdings. Yum also stands to receive another $75 million if the business reaches specified performance targets by 2030.

LongRange said it was excited to complete the transaction and work with Eduardo and the Pizza Hut team. Founder and Managing Partner Bob Berlin said the firm had the support and resources to “build on Pizza Hut’s legacy.” He also said LongRange would support franchisees and invest in operations and digital initiatives to deliver consistent food and customer experiences while pursuing sustainable growth.

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We are excited to complete this transaction and to partner with Eduardo and the Pizza Hut team.

The sale was announced in June after a long period of difficulty for Pizza Hut. Reports cited by Tempo linked the struggles to competitor expansion, declining performance in the U.S. market and the rise of third-party delivery applications.

Yum now plans to direct its resources toward the brands it sees as having the strongest growth prospects: KFC, Taco Bell and Habit Burger & Grill. Those brands operate in 151 countries and territories and have more than 44,000 outlets, according to The Independent. Pizza Hut was founded in Wichita, Kansas, in 1958. PepsiCo acquired it in 1977, and it became part of Yum Brands after the company’s 1997 spinoff.

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We are committed to supporting our franchisees and making the right investments to help Pizza Hut deliver consistently great food and experiences for guests around the world, while executing the operational and digital initiatives that will drive sustainable growth.