Clearwater International UK advises Pizza Hut Restaurants UK on management buy-out
Pizza Hut Restaurants UK has announced that its senior leadership team has completed a management buy-out of the restaurant chain in the UK from its private equity backer Rutland Partners.
Assisted through funding from Pricoa Capital Group, the international private capital investment arm of PGIM, the MBO will see the management team, led by CEO Jens Hofma, take control of the business with a new franchise agreement in place with Pizza Hut’s brand owner, Yum! Brands.
Over the past five years, the management team has led Pizza Hut Restaurants through a significant turnaround programme, which has resulted in a reversal of customer spending back into consistent sales growth and increased EBITDA by in excess of £17m (€19.4m).
Following Rutland Partners’ acquisition of the business in 2012, over £60m (€68.5m) has been re-invested in the turnaround strategy, which has involved the complete redesign of the restaurant estate and the relaunch of the menu. Underpinning the business strategy is a new service model which keeps people at the heart of the business, with a market-leading training programme developed to ensure restaurant teams are not only operationally excellent but deliver genuine customer experiences.
With the refurbishment programme now nearly complete, the new ownership structure will aim to build on the current success and drive further growth in the UK market, including potential new restaurant openings where the right opportunities are available.