In a Tuesday assertion, Subway, one of many greatest names in quick meals, confirmed shareholders are in search of to promote the chain. The 58-year-old firm has employed J.P. Morgan to supervise the method. The assertion didn’t disclose the deal’s worth, however the Wall Avenue Journal reported final month that Subway might be valued at over $10 billion. A sale for that worth might be one of the vital vital acquisitions within the quick meals business since Dunkin’ was offered to Encourage Manufacturers for $11.3 billion in 2020.
As CNN notes, Subway has seen a renewed recognition increase thanks partly to menu enhancements, retailer renovations, and worldwide growth. Gross sales at its North American shops rose by 7.8% in 2022 and the chain noticed constructive digital progress with app and third-party service gross sales doubling over 2021. The corporate additionally expanded internationally, opening greater than 750 new eating places final yr, elevating international gross sales in particular person shops by 9.2%.
Subway’s announcement additionally comes a month after Entrepreneur speculated that the corporate was exploring a multibillion-dollar deal.
In its announcement, Subway stated there’s “no indication of timing or assurance {that a} sale will happen” and that it will not problem any further public feedback till the method is accomplished. However, Subway’s announcement has vital implications for the quick meals business, and the sale may reshape the sector’s aggressive panorama.
