http://www.bloomberg.com/news/2011-11-07/bank-of-america-to-sell-npc-pizza-unit-to-olympus-partners.htmlBank of America Corp. (BAC) has agreed to sell the biggest U.S. Pizza Hut franchisee to a company formed by Olympus Partners as Chief Executive Officer Brian T. Moynihan narrows the focus of the lender.
The debt of Charlotte, North Carolina-based Bank of America’s NPC International Inc. will be repaid by the purchaser when the deal is completed, which is expected by Dec. 28, according to a filing today from NPC.
Moynihan is concentrating on retail and commercial banking while scaling back assets acquired under his predecessor, Kenneth D. Lewis. The bank inherited NPC in its 2009 takeover of Merrill Lynch & Co., which bought the pizza purveyor in May 2006 for $615 million, according to a filing. Moynihan, 52, is divesting private-equity holdings that will require a greater cushion under new international rules on capital.
“These deals are getting Bank of America to a place where it’s a much simpler organization focused on the U.S. banking consumer,” said Jefferson Harralson, an analyst at KBW Inc. with a “market perform” rating on the lender. “A Pizza Hut investment very clearly doesn’t fit in with where Brian is taking the business.”
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