Yum! Brands Is Selling Pizza Hut for $2.7 Billion — and Splitting It in Two
Yum! Brands has agreed to sell Pizza Hut for $2.7 billion, splitting it between private-equity firm LongRange Capital (everything outside China) and Yum China, to focus on KFC and Taco Bell.
TL;DR — On June 16, 2026, Yum! Brands agreed to sell Pizza Hut for $2.7 billion, splitting it between private-equity firm LongRange Capital (everything outside China) and Yum China (Mainland China) — shedding its slowest chain to focus on KFC and Taco Bell.
Pizza Hut helped build Yum! into a fast-food empire. Now Yum! is letting it go — and carving it in two on the way out.
The deal
Yum! is selling Pizza Hut for a total of $2.7 billion, per its official release and CNBC. Two buyers split it geographically:
| Pizza Hut Ex-China | Pizza Hut Mainland China | |
|---|---|---|
| Buyer | LongRange Capital (private equity) | Yum China Holdings |
| Price | ~$1.5 billion | ~$1.2 billion |
| Combined deal value | $2.7 billion total | |
| Net to Yum! | ~$2.3 billion after tax/fees (+ up to $75M earn-out by 2030) | |
| Expected close | Q3 2026 | Q3 2026 |
Yum! expects roughly $2.3 billion in net proceeds after taxes and fees, plus a potential $75 million earn-out by 2030. Both transactions need regulatory approval and are expected to close in Q3 2026.
Why Yum! is selling
Simple math: Pizza Hut was the weak link. Its full-year 2025 system sales fell to $3.47 billion from $3.61 billion in 2024, per Fortune — and Yum! is closing about 250 underperforming US locations in the first half of 2026. With KFC and Taco Bell growing faster, Yum! is concentrating its bets.
What it means
"Under LongRange and Yum China, Pizza Hut will be well positioned for future growth with ownership that brings deep expertise in the restaurant industry," said Chris Turner, CEO of Yum! Brands. For a chain with nearly 20,000 restaurants worldwide, new owners — and a China business run by the company that already knows that market — is a bet that focus beats scale.
FAQ
How much is Yum! selling Pizza Hut for?
$2.7 billion total, announced June 16, 2026 — about $1.5 billion for the business outside China (to LongRange Capital) and $1.2 billion for Mainland China (to Yum China).
Why is Yum! selling Pizza Hut?
It was Yum!'s slowest performer: 2025 system sales fell to $3.47 billion from $3.61 billion in 2024, and Yum! is closing ~250 underperforming US locations. The company wants to focus on KFC and Taco Bell.
Who is buying it?
Two buyers: private-equity firm LongRange Capital takes Pizza Hut everywhere outside Mainland China; Yum China Holdings takes the Mainland China business.
When will the deal close?
Both transactions are expected to close in Q3 2026, subject to regulatory approval.
Sources: Yum! Brands press release, CNBC, Fortune.
Image: 幽隐敏兔, CC BY-SA 4.0, via Wikimedia Commons.
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