DivestmentJun 16, 2026, 09:07 AM
Yum! Brands Sells Pizza Hut for $2.7B; Authorizes $4B Buyback
AI Summary
Yum! Brands, Inc. announced definitive agreements to sell its Pizza Hut business for an aggregate of $2.7 billion. Pizza Hut, excluding Mainland China, will be acquired by LongRange Capital for $1.5 billion, while Pizza Hut in Mainland China will be acquired by Yum China Holdings, Inc. for $1.2 billion. The company expects to receive approximately $2.3 billion in net proceeds and has authorized an incremental $4 billion share repurchase program, positioning Yum! Brands for long-term growth and shareholder value creation.
Key Highlights
- Yum! Brands to sell Pizza Hut for a total of $2.7 billion.
- Pizza Hut Ex-China to be acquired by LongRange Capital for $1.5 billion, with a potential $75 million earn-out.
- Pizza Hut China to be acquired by Yum China Holdings, Inc. for $1.2 billion.
- Yum! Brands expects to receive approximately $2.3 billion in net proceeds after taxes and fees.
- Board approved an incremental $4 billion share repurchase authorization.
- Transactions are expected to close in the third quarter of 2026.
- Yum! expects to incur one-time expenses of approximately $85 million in 2026.
Price Impact
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