For Pizza Hut, a return to its iconic retro red roof era, complete with ‘80s-inspired vinyl booths and checkered tablecloths, wasn’t enough to save the struggling restaurant chain from complete financial mayhem. Instead, the circumstance of its salvation is a tale as old as time: an acquisition, namely by private equity.
Yum! Brands announced Tuesday that it has agreed to sell Pizza Hut for $2.7 billion in a split deal. LongRange Capital — a U.S. private equity firm that, funnily enough, also owns 24 Hour Fitness and a funeral coffin and urn maker — paid $1.5 billion for its share and Yum China Holdings, a Chinese restaurant company, forked over $1.2 billion.
