Democratic Massachusetts Sen. Elizabeth Warren expressed her displeasure Sunday over the potential monopoly status over purchasing sandwich companies.
“We don’t need another private equity deal that could lead to higher food prices for consumers. The @FTC is right to investigate whether the purchase of @SUBWAY by the same firm that owns @jimmyjohns and @McAlistersDeli creates a sandwich shop monopoly,” Warren said on X.
We don’t need another private equity deal that could lead to higher food prices for consumers. The @FTC is right to investigate whether the purchase of @SUBWAY by the same firm that owns @jimmyjohns and @McAlistersDeli creates a sandwich shop monopoly. https://t.co/mAFuuFYA5A
— Elizabeth Warren (@SenWarren) November 26, 2023
The Massachusetts politician referenced the decision by the Federal Trade Commission (FTC) to open an investigation over the purchase of Subway. The FTC is investigating Roark Capital after it purchased many fast food franchises like Subway, Jimmy John’s, Arby’s and other such sandwich-related companies, Politico reported. Roark Capital bought Subway back in August for around $10 billion, the outlet noted.
Under the mergers, Roark Capital would control among the largest U.S. sandwich chains based on August 2022 sales of Subway, Arby’s, Jimmy John’s, and McAlister’s Deli, QSR Magazine noted. The chain would control over 40,000 restaurants in the U.S.- three times more than McDonalds, New York Post reported.
Warren faced some criticism online following her remarks. “Big Sandwich must not win!,” an account by the name of Not Jim Cramer joked.
Big Sandwich must not win! pic.twitter.com/qT5rcsJoWN
— Not Jim Cramer (@CramerTracker) November 26, 2023
“You’re kidding right? We are talking about sandwiches here. How can a company corner the market or create a monopoly on something anyone can make at home?,” investor Chart Westcott said.