The Financial Times has reported Starbucks’ sale of its Chinese assets is inching closer, with five private equity firms said to have submitted binding offers in the past week.
Carlyle and Boyu Capital have emerged as the leading contenders to acquire the majority stake in the business, according to the report, with Starbucks set to ultimately retain up to 49 per cent of the business.
“We’ve had very strong interest from multiple, high-quality partners all of whom share our confidence in the growth of Starbucks China,” a Starbucks spokesperson says.
Earlier this year Starbucks denied reports it was looking to sell the full portfolio of its Chinese operations, as the global brand looks to strengthen its presence in the region against the rising popularity of local chains including Luckin Coffee.
The bids are reported to be no higher US$5 billion, valuing Starbucks China at approximately US$10 billion.
EQT and HongShan Capital Group are also among the bidders.
