close

Subway considers sale of company which could be valued at over $10 billion

Subway

Global sandwich chain Subway has retained advisors to explore options for the sale of the company, which could see it valued at more than US$10 billion, it has been reported.

Potential corporate buyers and private-equity companies are expected to be drawn to the process, which is still in the early stages, although a deal or sale may not result from the chain’s decision to look into its options, according to a source with knowledge of the situation, the Wall Street Journal reports.

The brand currently has some 37,000 stores across the globe and is reportedly intending to focus more on expansion outside of the US in the near future.

Story continues below
Advertisement

Subway said: “As a privately held company, we don’t comment on ownership structure and business plans.

“We continue to be focused on moving the brand forward with our transformational journey to help our franchisees be successful and profitable.”

The company’s sales across its global estate reached a high of US$18bn in 2012, but began to decline following this, according to industry research firm, Technomic.

Its same-store sales increased by 8.4% in the third quarter of its latest financial year compared to figures reported for the same period in the previous year.

The chain said that menu changes, restaurant revamps and improvements to its online ordering system were behind the boost to its sales figures, the newspaper reports.

Tags : Subway
Joshua Walton

The author Joshua Walton

Leave a Response

Processing...
Thank you! Your subscription has been confirmed. You'll hear from us soon.
INDUSTRY NEWS TO YOUR INBOX
Enter your email to join the thousands of other professionals receiving breaking news from Catering Insight
ErrorHere