LOUISVILLE, Ky.--(BUSINESS WIRE)--
Yum! Brands, Inc. (NYSE: YUM) today announced it has signed definitive
agreements to sell Long John Silver’s, Inc. and A&W Restaurants, Inc. to
two separate buyers led by key franchisee leaders. Both sales are
subject to customary closing conditions.
“We are pleased to announce that we have identified strategic buyers who
are passionate about these two great restaurant brands and committed to
their growth potential,” said David C. Novak, Yum! Brands, Inc. Chairman
and Chief Executive Officer. “As we continue to sharpen our long-term
growth focus on international expansion and improving our US brand
positions in KFC, Pizza Hut and Taco Bell, Long John Silver’s and A&W no
longer fit our long-term growth strategy.”
The Company does not expect the sales to have a material impact to its
ongoing earnings or cash flow. Both transactions are expected to close
in the fourth quarter. Goldman, Sachs & Co. acted as exclusive financial
advisor to Yum! Brands on the transactions.
Long John Silver’s will be acquired by LJS Partners LLC, led by a
consortium of prominent franchisee leaders and other investors.
A&W will be acquired by A Great American Brand LLC, led by a franchisee
leader with substantial interests in international A&W restaurants and
the National A&W Franchisees Association representing U.S. A&W
restaurant operators.
Yum! Brands, Inc., based in Louisville, Ky., is the world’s largest
restaurant company in terms of system restaurants with approximately
38,000 restaurants in more than 110 countries and territories. The
company is ranked #214 on the Fortune 500 List, with revenues of more
than $11 billion in 2010. Four of the company’s restaurant brands - KFC,
Pizza Hut, Long John Silver’s and Taco Bell - are the global leaders of
the chicken, quick-service seafood, pizza and Mexican-style food
categories. A&W Restaurants is the longest running quick-service
franchise chain in America. Outside the United States, the Yum! Brands
system opened approximately four new restaurants each day of the year,
making it a leader in international retail development. The company has
consistently been recognized for its reward and recognition culture,
diversity leadership, community giving, and consistent shareholder
returns.
Yum! Brands, Inc.
Tim Jerzyk, Senior Vice President Investor
Relations
888-298-6986
or
Amy Sherwood, Vice President
Public Relations
502-874-8200
Source: Yum! Brands, Inc.