Yum! Brands said today it has signed an agreement to sell Pizza Hut to private investment firm LongRange Capital for $2.7 billion. The deal ends a process that began in November 2025, when Yum! said it was reviewing strategic alternatives for the chain after Pizza Hut became the weakest brand in its portfolio.
Pizza Hut accounted for about 12% of Yum! Brands' revenue in 2025, down from 18% in 2019, as KFC and Taco Bell continued to grow faster. The most painful trend has been the U.S. business, where same-store sales fell for 10 straight quarters and were still down 4% in the first quarter of 2026.
LongRange Capital, founded in 2019 and managing about $1.7 billion in assets, focuses on long-term investments and operational improvement. Its holdings include 24 Hour Fitness and Batesville. The $2.7 billion price tag is below recent market estimates of $3.5 billion to $4.3 billion, according to Seeking Alpha analysts and other sources.
The sale will help Yum! reduce part of its roughly $9.3 billion long-term debt. Management is expected to use the proceeds for share buybacks, dividends and mergers and acquisitions. Pizza Hut currently has about 6,100 U.S. locations, down from 6,551 five years ago, and around 14,000 restaurants outside the United States. International same-store sales rose 2% in the first quarter, showing more stability abroad. Founded in 1958 in Kansas City and acquired by Yum! in 1977, Pizza Hut will become a private company after more than 50 years under public ownership. Yum! shares rose almost 3% after the exclusive negotiations were announced.
