LongRange Capital has entered exclusive negotiations to buy Pizza Hut from Yum Brands, sources told Reuters. The exclusivity narrows a field that previously included Sycamore Partners and Apollo Global Management, which signaled interest in April. Securing sole bidder status typically precedes a definitive carve‑out agreement for an asset of this size. The deal could fetch a multi‑billion price tag, though no figure has been disclosed.

Yum disclosed last year it was weighing strategic options for Pizza Hut as the chain trailed stronger brands like Taco Bell. US comparable sales have fallen for ten straight quarters, and the brand accounted for 12% of Yum’s 2025 revenue. With Q1 2026 net income rising 71% to $432 million, the divestiture looks like portfolio pruning rather than a distressed fire‑sale, helping sharpen Yum’s brand portfolio.

The transaction arrives amid a wave of U.S. restaurant restructurings: Denny’s, Potbelly and California Pizza Kitchen have recently left public markets, while Papa John’s is courting Irth Capital Management. If LongRange finalizes the purchase, Pizza Hut will join a growing list of legacy chains transferred to private owners, cementing a shift toward consolidation in the fast‑food sector.