Pret a Manger sold to Krispy Kreme owner JAB in £1.5bn deal.

Pret has been bought by JAB Holdings
for a reported £1.5bn - REUTERS

Sandwich chain Pret a Manger is to change hands for a reported £1.5bn after its private equity owner announced plans to sell to German conglomerate JAB Holdings.

Bridgepoint, which bought the chain for £364m in 2008, declined to reveal the terms of the deal, but the Financial Times reported it valued Pret at £1.5bn including debt - 15 times its annual earnings.

The private equity firm previously considered floating Pret, which is known for its freshly made sandwiches, on the stock market but decided it could make more through a direct sale.

Pret a Manger began in 1986 as a single sandwich shop in North London and has since grown to have 530 stores, including 92 in the US and 26 in Hong Kong, generating £879m in sales last year.

By Jack Torrance.

Full story at Yahoo News.