After rumors of a potential sale have been swirling for weeks, Subway announced Tuesday that the sandwich chain is considering a potential sale of the company. Although scant details were available, the Milford, Conn.-based privately owned sandwich chain said that it is going through a sale exploration process and clarified that there is “no indication of timing or assurance that a sale will occur.”
“The management team remains committed to the future and will continue to execute against its multi-year transformation journey, which includes a focus on menu innovation, modernization of restaurants and improvements to its overall guest experience,” Subway said in a statement released on its website. “The company recently announced another record-setting year, ending 2022 exceeding global sales projections and achieving eight consecutive quarters of positive same-store sales growth.”
The initial rumors of a sale originated from a Wall Street Journal article published last month, which predicted that a potential sale could value Subway at more than $10 billion, which would be the largest company sale since Inspire Brands bought Dunkin’ for $11.3 billion in 2020.
According to recent analysis from NRN, potential buyers could include Darden Restaurants Inc., though a quick-service sub chain would definitely be atypical for the Olive Garden parent.
Subway is currently being advised by JP Morgan throughout the sale exploration process and will not be making any further public comment until the process is completed.
The sandwich chain currently has 37,000 units globally, after the company culled several thousand stores from its portfolio in recent years.
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