Pizza Hut’s biggest UK franchisee seeks new ownership
The UK’s biggest franchisee of the Pizza Hut restaurant chain is in advanced talks with potential buyers regarding a takeover of the business.
Heart With Smart – which operates nearly 150 Pizza Hut restaurants in the UK – is aiming to select a preferred bidder for the company in January, Sky News has reported.
Sources close to the process told Sky that a range of trade and financial buyers have expressed an interest in acquiring a large stake in the American pizza restaurant chain.
The company operates all of Pizza Hut’s dine-in restaurants in Britain, but does not operate any delivery outlets, which are instead run by individual franchisees.
In November, it was reported that Heart With Smart had already begun approaching potential bidders as it looked to offset higher costs brought about by the October Budget.
Insiders previously said that the increases to the national living wage and employers’ national insurance contributions would add approximately £4m to Heart With Smart’s annual costs – equivalent to more than half of 2023’s EBITDA (earnings before interest, tax, depreciation and amortisation).
Heart With Smart is working with advisers at Interpath during the process.