Montreal-based fast-food franchisor MTY Food Group said Monday it has initiated a strategic review process and hired a financial advisor to assess options “including, but not limited to, a sale of all or part of the company.” Reuters reported that TD Bank is leading the process, although MTY said a sale is not guaranteed.
(Reuters, The Logic)

Talking point: MTY operates more than 80 restaurant brands across Canada and internationally, including Pinkberry, Cold Stone Creamery and Wetzel’s Pretzels. The quick-service restaurant industry has come under pressure recently, even as chains have increasingly attracted private equity interest. In the third quarter, MTY reported disappointing Canadian same-store sales with mall locations lagging in particular. In an earnings call last month, CEO Eric Lefebvre indicated MTY was still interested in being on the acquiring side of M&A deals, saying, “There is a good amount of deal flow at the moment. It’s just a matter of finding the right deal for MTY.” The company’s shares jumped 13 per cent following the announcement, but gave back some of those gains during Tuesday trading.