Starbucks Corporation, the US-based multinational coffee chain headquartered in Seattle, Washington, is reportedly exploring a partial stake sale of its China business, potentially valuing it at up to USD 10 billion. CNBC reported on July 10, 2025, that leading private equity firms including Centurium Capital, Hillhouse Capital, Carlyle Group, and KKR & Co have submitted bids for acquiring stakes in Starbucks’ operations in China. While Starbucks may retain a 30% share, the remaining equity could be split among the selected bidders. Starbucks had initiated the formal sale process in May and is currently reviewing proposals, with shortlisting expected within two months.
Starbucks, headquartered in Seattle, Washington, United States, is reportedly considering selling a significant portion of its China operations, potentially valuing the business at up to USD 10 billion, according to a report by CNBC dated July 10, 2025.
The coffee giant has attracted bids from both Asia-based and US-based private equity firms. Among the key contenders are Centurium Capital and Hillhouse Capital from Asia, as well as Carlyle Group and KKR & Co from the United States.
According to the report, Starbucks may retain up to 30% equity in its China unit, with the remaining shares distributed among a group of investors, each holding less than 30%. The structure is designed to maintain operational stability while allowing strategic capital infusion.
In May 2025, Starbucks began a formal process for evaluating its China operations. Nearly 30 domestic and international private equity firms have submitted non-binding offers. The company is now assessing those bids based on proposed deal structures, valuation, and potential for future growth.
While Starbucks has publicly stated that a full sale of its China business is not currently being considered, the ongoing evaluation indicates a significant strategic move in one of its largest international markets.
The bidders are expected to be shortlisted within the next two months, although final closure of the deal may extend beyond the end of 2025.
China remains a crucial growth market for Starbucks, making the outcome of this transaction a key indicator of its long-term international strategy.