Pizza Hut UK dine-in arm enters administration, 64 sites saved

The dine-in arm of Pizza Hut in the United Kingdom has entered administration, placing 68 restaurants at risk of permanent closure and putting hundreds of jobs in jeopardy, company and industry statements said on Monday. Corporate restructuring advisers FTI Consulting were appointed administrators to DC London Pie Limited, the franchisee that operates Pizza Hut's sit-down restaurants, and parent company Yum! Brands completed a prepackaged purchase that will preserve 64 sites.

Under the prepackaged administration, Yum! Brands agreed to acquire the rescued restaurants and staff. Pizza Hut said approximately 1,277 employees at the acquired locations will transfer to the new Yum entity under UK TUPE rules, while up to 741 jobs at the remaining 68 sites could be lost. Takeaway and delivery outlets operating under the Pizza Hut brand are not affected by the deal, the company added.

Nicolas Burquier, managing director for Pizza Hut Europe and Canada, described the transaction as "a targeted acquisition aims to safeguard our guest experience and protect jobs where possible." He said the immediate priorities are ensuring operational continuity at the acquired restaurants and supporting...