Subway's CEO John Chidsey Unveils Ambitious Global Expansion Plans Amid $9.6 Billion Deal with Roark Capital

Subway’s CEO John Chidsey Unveils Ambitious Global Expansion Plans Amid $9.6 Billion Deal with Roark Capital

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Since assuming the role in 2019, John Chidsey has been a driving force behind Subway’s international expansions, heightened sales, and enhanced real estate strategies.

Subway's CEO John Chidsey Unveils Ambitious Global Expansion Plans Amid $9.6 Billion Deal with Roark Capital
Subway’s CEO John Chidsey Unveils Ambitious Global Expansion Plans Amid $9.6 Billion Deal with Roark Capital ( Photo: Yahoo Finance )

Subway’s CEO, John Chidsey, shared insights into the company’s plans amid efforts to recover from the pandemic’s impact

John Chidsey has overseen a significant rise in digital sales from 3.5% to 17% of total sales. The impending $9.6 billion sale to Roark Capital, a private equity firm, is viewed by Chidsey as a “win-win-win” situation. Speaking at the Yahoo Finance Invest conference, he highlighted Roark’s strong franchising history, positioning Subway for potential success. The deal is poised to become the third-largest restaurant deal in history, trailing only Tim Hortons and Dunkin’.

Despite Subway facing challenges such as declining profits and store closures over the past seven years, John Chidsey remains optimistic

He referred to the closure of over 500 stores last year as a “good year” and revealed plans to open 200 to 300 new locations. Emphasizing the cost advantages of Subway compared to competitors like McDonald’s or Burger King, John Chidsey aims to tap into the Chinese market and explore opportunities in countries like Italy, Japan, Vietnam, and the Baltics.

John Chidsey acknowledged Subway’s past underinvestment in technology and expressed a commitment to leveraging technology moving forward. However, industry expert Alicia Miller cautioned that while international expansion holds potential, the U.S. market is saturated with Subway units, urging Subway and Roark to prove themselves in the face of stiff competition.

 

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