Papa Johns shares climbed around 5.7 per cent on Wednesday, 15 April, after Reuters reported that the US pizza chain is in advanced discussions over a potential takeover that could take the business private.

The reported talks come at a difficult moment for the wider pizza market, with operators contending with tougher competition, higher ingredient costs and softer consumer demand.

According to Reuters, Papa Johns has been in talks with Qatari-backed investment firm Irth Capital, which is said to have offered $47 per share in March with backing from Brookfield Asset Management.

The company’s share price had fallen 28 per cent over the previous six months, closing at $34.99 on Tuesday ahead of the report. Reuters also said Irth has been carrying out due diligence over the past month as discussions progress.

While some investors reportedly believe an agreement could be reached before Papa Johns publishes its first-quarter results on 7 May, sources told Reuters that negotiations are still ongoing and there is no certainty a deal will be completed.

Papa Johns has already confirmed that it will release its first-quarter 2026 results before the market opens on 7 May.

The potential deal would mark the latest twist in a turbulent period for the business. Weaker same-store sales, falling revenues, intense competition and repeated leadership changes since the departure of founder John Schnatter have all weighed on performance.

Papa Johns’ share price, which once traded at around $130 in late 2021, has come under sustained pressure as the business works through its turnaround efforts.

A move into private ownership could give the group more room to reset its strategy away from the pressure of quarterly reporting, at a time when restaurant and takeaway operators are facing increasingly cost-conscious consumers and persistent inflation across key inputs.

Papa Johns is one of several restaurant businesses being watched closely by investors as public market conditions remain challenging for the sector.

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