Yum! Brands sells Pizza Hut restaurant chain for $2.7 billion
Yum! Brands agreed to sell Pizza Hut for $2.7 billion, dividing the operation between LongRange Capital and Yum China for the Asian country
Pizza Hut, the brand popularly known in the world, will begin a new business stage after completing one of the most relevant operations in the restaurant sector in 2026. Yum! Brands confirmed the sale of its pizza chain for a total value of $2.7 billion, a decision that will end decades of corporate control over one of the most recognized fast food brands in the world and seeks to open new growth opportunities for the business.
According to Yum! Brands, a corporate conglomerate that owns other well-known restaurants such as KFC, the operation will divide the ownership of Pizza Hut between two buyers. On the one hand, the American investment firm LongRange Capital will acquire Pizza Hut's global business, excluding mainland China, for $1.5 billion; On the other hand, Yum China Holdings will take control of Pizza Hut China in a transaction valued at $1.2 billion.
The company indicated that both operations have already received unanimous approval from its Board of Directors and that it expects to complete them during the third quarter of 2026.
“Under the leadership of LongRange and Yum China, Pizza Hut will be well positioned for future growth, with ownership bringing extensive experience in the restaurant industry,” said Chris Turner, CEO of Yum! Brands, in a statement. “Pizza Hut is one of the most iconic restaurant brands in the world, and we are proud of the important role it has played in the history of Yum!”
The decision comes after several years in which Pizza Hut showed lower results than other brands in the group, especially compared to KFC and Taco Bell. The most recent financial reports reflected slower growth for the pizza chain, while its U.S. sales continued to lose momentum.
As part of efforts to improve profitability, Yum! Brands announced in February the closure of approximately 250 Pizza Hut restaurants in the United States. Despite this, the chain maintains more than 6,000 establishments in the country and around 19,000 units distributed in more than 100 countries and territories.
Bob Berlin, founder of LongRange Capital and recognized for having led the recovery of the Arby's chain, expressed optimism about the future of the brand.
“We look forward to working with Pizza Hut's executive team and franchisees to drive its next phase of growth,” Berlin stated.
The sale also represents a new chapter for Yum China Holdings. Although it currently operates independently, the company was part of Yum! Brands until 2016, when he split off to manage the group's business in mainland China.
Pizza Hut's challenges have intensified in recent years due to increased competition in the pizza delivery market. Industry analysts point out that Domino's has gained ground through innovations in digital ordering, home delivery and marketing strategies. In addition, the expansion of platforms such as DoorDash and Uber Eats has transformed consumer habits, increasingly favoring online ordering.
The history of Pizza Hut began in 1958 in Wichita, Kansas, when brothers Frank and Dan Carney opened the first restaurant. Decades later, PepsiCo acquired the chain in 1977. Later, in 1997, it separated its restaurant businesses to form a new company that later adopted the name Yum! Brands.
Today, Pizza Hut is going through a time of challenges: increased competition, technological advances and brand renewal to stay in the taste of consumers. Time will tell if this split will help it achieve its objectives and stay in the market or if it is the beginning of the end of a story.