Subway, a chain of sandwich shops, announced on Thursday that Roark Capital will purchase it.
The agreement’s terms wurden’t made public. The Wall Street Journal reported earlier this week that Roark was making a bid for privately held Subway of about $9,6 billion.
The transaction, according to Subway CEO John Chidsey, illustrates both the brand’s worth and Subway’s potential for long-term growth.
Under Roark’s ownership, Subway intends to carry on updating its eateries and pursuing worldwide expansion.
Private equity company Roark currently manages $37 billion in assets. Arby’s, Dunkin’, and Buffalo Wild Wings are just a few of the restaurant franchises that it owns and specializes in, as well as other franchised businesses.
The founding families of Subway, which has offices in Miami and Connecticut, still own the business. It was established in 1965. With 37,000 locations spread across more than 100 countries, it is currently one of the biggest restaurant chains in the world.
However, it has been losing market share in recent years in the US to quickly expanding competitors like Panera and Firehouse Subs, who have more varied menus and more recent locations.
In an effort to keep up, Subway updated its menu in 2021 and unveiled a line of sandwiches created by chefs last year.