Some of the world’s largest buyout corporations are exploring the potential for a joint bid for Subway, the $10bn (£8.3bn) sandwich chain.
Sky News has learnt that Advent International, Bain Capital and TPG are contemplating teaming up in a so-called ‘membership deal’ because the public sale of Subway nears the conclusion of a second spherical of bidding.
Bidders have to this point been prohibited from becoming a member of forces, however the dimension of the possible deal means non-public fairness corporations might want to safe companions if they’re to finish a takeover of one of many world’s largest fast-food operators.
Bankers count on the chain to fetch a valuation of between $8bn (£6.6bn) and $10bn (£8.3bn) after its controlling household shareholders instructed JP Morgan to supervise an public sale.
Sky News revealed in March that rival bidders together with Goldman Sachs’ asset administration arm and TDR Capital – which collectively owns Asda with the billionaire brothers Mohsin and Zuber Issa.
A change of possession of Subway could be the primary since its maiden retailer was opened in Connecticut in 1965 by Peter Buck, a nuclear physicist.
Since then, it has grown into one of many world’s largest quick-service restaurant chains throughout 37,000 – primarily franchised – retailers in additional than 100 international locations.
In the UK, Subway trades from greater than 2,000 websites, promoting made-to-order sandwiches, wraps and salads.
It is larger in Britain by variety of retailers than rivals equivalent to Greggs and McDonald’s.
In a press release earlier this yr, the corporate confirmed that its shareholders had been “exploring a possible sale of the company”.
“There is no indication of timing or assurance that a sale will occur.
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“The administration staff stays dedicated to the long run and can proceed to execute towards its multi-year transformation journey, which features a deal with menu innovation, modernization of eating places and enhancements to its general visitor expertise.
“The company recently announced another record-setting year, ending 2022 exceeding global sales projections and achieving eight consecutive quarters of positive same-store sales growth.”
Advent, Bain and TPG all declined to remark.
Source: information.sky.com”