Key facts
- Yum Brands is selling its Pizza Hut chain for a total of $2.7 billion.
- LongRange Capital will acquire Pizza Hut's operations outside mainland China for $1.5 billion.
- Yum China Holdings will acquire Pizza Hut's mainland China business for $1.2 billion.
- Yum Brands expects net proceeds of approximately $2.3 billion after taxes and fees.
- The sales are anticipated to conclude in the third quarter of 2026, pending regulatory approval.
Yum Brands has agreed to sell its Pizza Hut chain for a combined $2.7 billion in two separate deals, separating the business's trajectory in China from the rest of the world. Private equity firm LongRange Capital will acquire Pizza Hut's operations in the U.S. and over 100 other countries for $1.5 billion. These operations have faced challenges including intensifying competition, cautious consumer spending, and falling behind other Yum brands. Yum China Holdings will acquire the chain's business in mainland China for $1.2 billion. This segment has performed significantly better, with investments in localized products and new store formats contributing to its growth. Pizza Hut has become China's largest casual dining brand. Yum Brands expects to receive approximately $2.3 billion in net proceeds after taxes and fees. The company will retain its KFC and Taco Bell brands and anticipates the sale to close in the third quarter of 2026, pending regulatory approvals.