Subway could receive a bid from a trio of private equity giants, as the sale of the UK’s second-largest food retailer based on number of outlets looms.
Private equity firms Advent International, Bain Capital and TPG are reportedly looking to team up to place a bid for Subway, which is expected to sell for up to US$10bn.
Subway, which boasts more UK outlets than the likes of McDonald’s Corp and Greggs PLC (LSE:GRG), is edging closer to an ownership change for the first time in over 50 years, having been offered up for sale in February.
Goldman Sachs (NYSE:GS)’ asset management wing and joint ASDA owner TDR Capital are also in the running to buy the sandwich chain.
JP Morgan was appointed to advise on the sale, which was announced after Subway recorded its eighth consecutive quarter of same-store sales growth in 2020.
Bidding for the fast food chain, which spans 37,000 locations across 100 countries, is set to enter its second round in April, before a final deadline in May, according to the Wall Street Journal.
Subway previously warned that there was “no indication of timing or assurance that a sale will occur,” however.