Sweet Doughnut Deal

These days, one could be forgiven for imagining that private equity will soon own everything, everywhere. A trio of buyout firms on Dec. 12 said they'd pay a sugary price of $2.43 billion for Dunkin Brands. Pernod Ricard, the French wine and spirits vendor, is dumping Dunkin, along with Dunkin's Baskin-Robbins ice cream and Togo's sandwich chains, to pay off debt. But this is no turnaround play for buyers Bain Capital, Carlyle Group, and Thomas H. Lee Partners. They like the doughnut chain's recipe to nearly triple in size, to 15,000 outlets worldwide, in the next 10 years, and they're keeping management in place. Dunkin has been taking on Starbucks (SBUX) by selling lattes and cappuccinos for less, but it's fattening nicely by aping its competitor's "be everywhere" strategy.