The North American multinational coffee shop Starbucks will form a joint company with the Chinese Boyu Capital to operate its stores in China, in an operation valued at around 4,000 million dollars (3,470 million euros).
The new entity will be 60% controlled by Boyu, while the North American multinational will maintain 40% and will continue to license the Starbucks brand and intellectual property.
The US company expects to complete the operation in the second quarter of fiscal 2026, after obtaining the necessary regulatory approvals, and highlights that the partnership reinforces its commitment to long-term growth in China, one of its largest and most dynamic markets.
According to Starbucks, the total value of the business in the Asian country will exceed 13 billion dollars (11,280 million euros), when including the proceeds from the sale of the majority stake, the value of the remaining stake and the current value of future payments for licenses over the next decade or more.
The new company’s headquarters will remain in Shanghai, which will remain the hub of operations for the 8,000 Starbucks stores currently operating in China. The two companies plan to reach 20,000 units in the Chinese market.
“Boyu’s deep knowledge and experience in the local market will help us accelerate growth in China, especially as we expand into smaller cities and new regions,” said Brian Niccol, president and CEO of Starbucks.
“We seek to combine Starbucks’ global leadership in the coffee sector with Boyu’s expertise to accelerate growth,” said Alex Wong, partner at Boyu Capital.