The transaction, first announced in June, allows Yum China to eliminate 3% license fee payments to its former parent. CEO Joey Wat noted that these savings are expected to bring Pizza Hut’s restaurant margins closer to those of the KFC chain. This improved profitability is projected to shorten the payback period for new store investments to between two and three years, providing the financial agility to boost growth.

Looking ahead, the company plans to accelerate its expansion efforts. The target for new store openings in 2027 and 2028 has been revised upward from 600 to 800 units per year. To finance the purchase, Yum China secured a $1.2 billion offshore bridge loan with a 2% interest rate and a 12-month term, with long-term financing options currently under evaluation.