PIZZA HUT acquired by LONGRANGE CAPITAL

Yum! Brands has announced the signing of definitive agreements to divest its entire Pizza Hut business, following a strategic review process initiated in November 2025 to assess the best value-creation options for the brand. After careful consideration, the company has decided to separate Pizza Hut from its portfolio to focus its resources on its other brands and strategic growth priorities. The transaction is structured into two separate deals. Pizza Hut's operations outside of mainland China will be sold to LongRange Capital, while Yum China Holdings will acquire the Pizza Hut business in mainland China. For Yum! Brands, this divestiture marks a significant milestone in the evolution of its portfolio, as the company aims to become a more focused organization centered around its other global brands, including KFC and Taco Bell, while continuing to develop its technological capabilities and digital platforms. The proceeds from the sale are expected to fund strategic investments and a significant share buyback program approved by the board of directors. From LongRange Capital's perspective, the acquisition represents an opportunity to own a global brand with exceptional recognition, but facing challenges related to transformation and growth revival. The fund believes that Pizza Hut will benefit from a dedicated ownership structure, which will provide the necessary financial and operational resources to support its turnaround. This newfound independence is expected to enable the brand to accelerate its adaptation to the evolving fast-food market, particularly in the areas of delivery, digitalization, and network optimization.