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Papa John’s founder may sell slice of company
Posted on Tuesday, 07 May 2019 14:28
John Schnatter, the founder of pizza restaurant chain Papa John’s, has entered discussions over the potential sale of his stake in the company.
The company posted an SEC filing, which stated that he had appointed financial advisors to look into a possible sale of some or all of his share of the business.
At this point, no further details have been disclosed and it is not clear whether a deal is likely to take place.
Schnatter has been hitting headlines for all the wrong reasons in recent years; in July 2018, he stepped down as Papa John’s chairman after using a racial slur during a conference call, although continues to be a member of the board.
Sky News reported on the situation and noted that the term had been used by the company’s founder in order to illustrate the fact that he is opposed to racism.
Nevertheless, the word caused offence among a number of people on the call, causing Schnatter to admit he had made the statement and apologise.
That was not the first time he had caused controversy, having previously stepped down as chief executive over comments he made in relation to National Football League (NFL) players protesting the US national anthem.
This movement was started by Colin Kaepernick, who began kneeling as the anthem was played before games in order to raise awareness of social injustice and police brutality against minorities in the US.
Schnaffer subsequently attributed declining sales at Papa John’s, an NFL sponsor, to the protests, which grew to the point of attracting the attention of President Donald Trump, and criticised the league for its “poor leadership”.
Papa John’s opened its first location in Indiana more than 30 years ago.
The company now operates in excess of 5,000 locations spanning 45 countries.
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