Yum Brands to sell Pizza Hut for $2.7B after prolonged demand slump

Yum Brands said it would sell its Pizza Hut chain for $2.7 billion as the unit faces fierce competition and cautious consumer spending. The Mainland China Pizza Hut will be acquired by Yum China for $1.2 billion, while the balance will go to private equity firm LongRange Capital for $1.5 billion. The sale follows several quarters of declining sales and broad inflationary pressures that have weighed on U.S. pizza players. Analysts note rising adoption of GLP-1 weight-loss drugs is nudging consumers toward healthier options, contributing to demand weakness for traditional pizza offerings. Pizza Hut accounted for about 12% of Yum's 2025 revenue, underscoring the strategic move to focus on Taco Bell and KFC.