NEW YORK The Pret A Manger grab-and-go chain may fund an expansion push in the United States by selling itself to a private-equity firm rather than pursuing the stock offering it acknowledged considering in April, according to a report in a London newspaper.
The Financial Mail said the London-based company has already fielded overtures from the European private-equity firms Bridgepoint, Lion Capital and PPM. McDonald's Corp. owns one-third of the company, which has a handful of outlets in New York City. The rest of its 150 units are located in the United Kingdom.
The remaining two-thirds of the company is reportedly owned by co-founders Julian Metcalfe and Sinclair Beecham.
Pret said in April that it was considering an initial public offering within its London stronghold specifically as a way of funding a push into the U.S. market.
The chain specializes in sandwiches, salads, soups and baked goods made without preservatives. The items are made fresh and stocked on shelves to streamline service for office workers looking for a quick lunchtime purchase. Everything is made ahead of time, with no customization. If items don't sell within a tight timeframe set by the units, the food is donated to charity or discarded.
McDonald's bought a stake in the concept when Pret was developing the London market, where it seemed to be embraced much more warmly than it has been in its U.S. test market of New York. At the time, the U.S. burger giant was investing in a number of fast-casual and quick-service concepts, including Fazoli's, Donatos and a European coffee chain called Aroma. It has since divested all but its holdings in Pret and Boston Market.