Subway to be bought by Roark Capital in reported $9 billion transaction

Subway, the popular sandwich franchise has agreed a buyout deal with Roark Capital, a US-based private equity firm specialising in franchise brands.

The deal, according to Reuters, is worth around $9 billion (€8.34 billion).

Roark Capital has a number of other popular franchises on its books, including Baskin-Robbins, Dunkin’, Buffalo Wild Wings, and Arby’s.

Subway started out in 1965 as Pete’s Super Submarines, in Connecticut, eventually settling on its current name in 1972. It started to franchise the brand, and currently has nearly 37,000 outlets in over 100 countries.

It used to have several location in Malta, but exited the country earlier in 2023.

The company described its takeover as a “major milestone” that reflected the “substantial value of the brand”.

Roark Capital’s “deep expertise in restaurant and franchise business models" is set to help Subway have a “bright future”, said the company, which reported an increase in global sales of nine per cent in the first half of 2022.