Yum! Brands IncYUM
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Yum! Brands sells Pizza Hut businesses for $2.7B and approves $4B buyback, returning capital to shareholders.
Yum! Brands is selling its Pizza Hut businesses in two deals totaling $2.7 billion and has approved a $4 billion share buyback. The non-China Pizza Hut business will be sold to private equity firm LongRange Capital for roughly $1.5 billion, while the mainland China business goes to Yum China for $1.2 billion. The $4 billion buyback represents approximately 9% of the company's current market cap. Jim Cramer called the move brilliant, noting that KFC has been solid and Taco Bell terrific, but pizza has been a drag.
Yum! Brands IncYum! Brands sells Pizza Hut businesses for $2.7B and approves $4B buyback, returning capital to shareholders.
Yum China Holdings IncYum China acquires mainland China Pizza Hut business for $1.2B, expanding its portfolio.