Franchising

Flynn Restaurant Group makes $816M reserve bid for NPC's Pizza Huts, Wendy's units

November 11, 2020

A large multi-QSR brand franchisee, Flynn Restaurant Group, has made a reserve, or so-called "stalking horse" offer of $816 million to buy the bankrupt Pizza Hut and Wendy's franchisee, NPC International, according to the Houston Business Journal.

The agreement is a strategy that typically takes place before an auction to essentially place a reserve bid.

NPC filed for bankruptcy this past summer this year and is the largest single U.S. franchisee for Pizza Hut and Wendy's. The Flynn Restaurant Group has more than 1,200 Arby's, Taco Bell, Panera and Applebee's locations and is also one of the biggest franchisees in the U.S.

The deal requires court approval for Flynn to acquire NPC's 1,300 stores. The company plans to employ all 30,000-plus employees at the NPC locations. In the meantime, NPC said it will continue to solicit bids from others, with a sale hearing set for early next month.