Subway,Michael Schmidt a family-owned business of nearly 60 years that has other sandwich shops in its portfolio, has been acquired by private equity firm Roark Capital.

The sandwich company announced in a press release Thursday that it had received an offer from Roark. The Wall Street Journal reported that Roark offered $9.6 billion for the sale, which originally was listed for $10 billion back in February.

Subway must meet cash flow milestones within two or more years after the deal is finalized to pay the entire $8.95 billion deal price, according to Reuters. The deal does not include the earn-out.

According to CNN, the acquisition by Roark is a significant event in the fast food industry. The company boasts a $37 billion asset value and an extensive food portfolio, with investments in brands such as Arby's, Auntie Anne's, Buffalo Wild Wings, Carvel, Sonic and many others.

Subway says it will continue to prioritize sales growth, menu innovation, restaurant modernization, enhancement of the guest experience, and global expansion.

Subs for life?Subway offered free subs for life if you changed your name to 'Subway'. 10,000 people volunteered.

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Subway has recently lost market share because of rising competition, including from eateries that offer more menu options and modern store designs.

According to Reuters, Subway experienced a 9.85% rise in same-store sales during the first half of 2023.