Irth Capital secures $2B financing for Papa John’s take-private bid

The effort to take Papa John’s off public markets just got a whole lot more real. Irth Capital Management has lined up a financing package consisting of $725 million in preferred equity and $1 billion in bridge debt, giving the private equity firm nearly $2 billion in firepower for what would be one of the more notable restaurant take-private deals in recent memory.

The bid values Papa John’s at approximately $1.5 billion, or $47 per share. That represents a meaningful premium over where the stock had been trading, which helps explain why the deal keeps gaining momentum instead of fizzling out like so many unsolicited offers tend to do.

Who’s writing the checks

The $725 million in preferred equity comes with Brookfield Asset Management’s commitment, carrying a 12% all-in yield. Brookfield plans to syndicate portions of that preferred equity investment to additional private credit investors.

Morgan Stanley is handling the $1 billion bridge debt portion. The expectation is that this bridge financing will eventually transition into whole-business securitization, where the debt would get restructured so that Papa John’s franchise royalty streams and other predictable cash flows serve as collateral.

The backstory matters

Irth Capital isn’t exactly a newcomer to the Papa John’s saga. The firm, led by Matthew Bradshaw and Sheikh Mohamed “Moe” al Thani from the Qatari royal family, already holds an approximately 10% stake in Papa John’s, acquired partly through derivatives.

A previous acquisition effort, run in partnership with Apollo Global Management, collapsed in late 2025. Irth regrouped and came back with fresh capital commitments and a new strategic ally.

That ally is Nadeem Bajwa, Papa John’s largest US franchisee, who controls roughly 10% of the company’s domestic stores. Bajwa joined Irth’s bid in May 2026.

What this means for investors

The $47 per share offer price is the number that matters most for current Papa John’s shareholders. A 12% yield on the preferred equity isn’t cheap capital. That cost needs to be serviced by the business’s cash flows, which means Irth’s financial models presumably show enough room in Papa John’s earnings to cover debt service, preferred returns, and still generate adequate equity returns.

The whole-business securitization structure has been used successfully by chains like Domino’s, Wendy’s, and Dunkin’. It typically results in lower borrowing costs compared to traditional leveraged loans, but it also encumbers the company’s core revenue streams as collateral.

The key risk remains execution. An earlier attempt with Apollo already failed, and Papa John’s board has no obligation to accept Irth’s offer. Shareholders should watch for any formal response from the board, competing bids from other buyers, and whether the financing commitments come with any material conditions that could cause them to unravel.