Yum China: $17.6b private equity bid signals a bubble market

A huge offer for the fast-food chain operator is reminiscent of club deals in the 2006 to 2007 buyout boom — a salutary reminder on the 10th anniversary of the Global Financial Crisis.

An attempt by private equity funds to take down NYSE-listed Yum China is a red flag for investors as it shows the bidders were prepared to pay a lofty valuation, banks were ready to fund the ambitious deal and too many cooks were lined up to run the flagging business.

¬ Haymarket Media Limited. All rights reserved.

Sign in to read on!

Registered users get 2 free articles in 30 days.

Subscribers have full unlimited access to FinanceAsia.

Not signed up? New users get 2 free articles per month, plus a 7-day unlimited free trial.

Questions?
See here for more information on licences and prices, or contact [email protected].

Share our publication on social media
Share our publication on social media