Pizza Hut, overtaken by the arrival of delivery culture, will be sold
for $2.7 billion
[June 17, 2026] By
MICHELLE CHAPMAN and DEE-ANN DURBIN
Pizza Hut, the 68-year-old chain that has long struggled with growing
competition and outdated restaurants, will be sold for $2.7 billion by
parent company Yum Brands.
Yum Brands said Tuesday that the private equity firm LongRange Capital
will buy Pizza Hut, excluding the mainland China business, for about
$1.5 billion.
In mainland China, Pizza Hut will be purchased by Yum China Holdings
Inc. for approximately $1.2 billion, the company said. China is Pizza
Hut's second-largest market outside the U.S., accounting for 19% of
sales. Yum China Holdings Inc. spun off from Yum Brands and became an
independent company in 2016.
Yum Brands, which also owns KFC and Taco Bell, began to explore its
options for Pizza Hut in November. Last year, Yum Brands' global sales
rose 5% but Pizza Hut's sales fell 2%.
In February, Yum Brands announced plans to close 250 U.S. Pizza Hut
locations. Pizza Hut had 19,974 restaurants worldwide at the end of last
year.
“Pizza Hut has long been the weak link in Yum’s portfolio,” Neil
Saunders, managing director of GlobalData, wrote Tuesday. “Despite
efforts to revitalize the brand and shut underperforming locations, it
has become increasingly clear that pushing the division back into growth
will require a level of investment and patience that Yum is just not
prepared to commit to.”
Pizza Hut was founded in 1958 in Wichita, Kansas, by two brothers who
borrowed $600 from their mother to open the store. They chose the name
because their sign only had room for eight letters.
Pizza Hut’s familiar red roof debuted in 1969 and by 1971 it was the top
pizza chain in the world by sales. PepsiCo acquired Pizza Hut in 1977
but spun off its restaurant division — which became Yum Brands — in
1997.
By the 1980s, Domino's was the fastest-growing U.S. pizza company,
buoyed by its promise of 30-minute delivery. As pizza carryout and
delivery grew in popularity, Pizza Hut was saddled with large, dine-in
restaurants. In 2020, even as pizza delivery boomed during the COVID-19
pandemic, Pizza Hut closed 300 U.S. restaurants.
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This Dec. 15, 2016, file photo shows a Pizza Hut restaurant in New
Orleans. (AP Photo/Gerald Herbert, File)
 The chain has been further pinched
in recent years by the growth of DoorDash, Uber Eats and other
restaurant delivery companies which marketed access to a slew of
cuisines besides pizza.
U.S. pizza sales have slowed considerably since the
pandemic, growing less than 1% in 2024 and falling less than 1% in
2025, according to Technomic, a restaurant consulting company. But
Pizza Hut performed worse than average, with U.S. sales down 8.2%
last year, Technomic said.
By selling Pizza Hut, Yum Brands can focus more on its brands with
stronger sales, Yum CEO Chris Turner said.
“Under LongRange and Yum China, Pizza Hut will be well positioned
for future growth with ownership that brings deep expertise in the
restaurant industry," Turner said in a statement.
Connecticut-based LongRange Capital was founded in 2019 by Bob
Berlin, who previously engineered a turnaround at Arby's when he led
private equity investments at The Baupost Group. Berlin said Tuesday
he looked forward to working with Pizza Hut's executive team and
franchisees “to drive its next phase of growth.”
“Pizza Hut is a beloved global brand with a rich heritage and a
loyal customer base that few brands can match,” Berlin said in a
statement.
Asked Tuesday if LongRange planned to close any Pizza Hut locations,
the company said it had no comment beyond Berlin's statement.
Yum Brands, based in Louisville, Kentucky, expects the sale in U.S.
and China to close in the third quarter. The company's stock rose
nearly 2% Tuesday.
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