Starbucks announced a joint venture with Chinese investment firm Boyu Capital to manage its stores in China. This was reported by the Associated Press.
Under the agreement, Boyu Capital will acquire a controlling 60% stake in Starbucks’ retail operations in China, valued at $4 billion.
Starbucks will retain a 40% stake in the joint venture and will remain the owner and licensee of the Starbucks brand.
Starbucks estimates the total value of its business in China, including proceeds from the sale of its controlling stake, the value of its 40% stake, and royalties, at more than $13 billion.
Starbucks’ China office will remain in Shanghai. The deal is expected to close in the second quarter of Starbucks’ fiscal year 2026, which began on September 29, 2025.
Starbucks shares were unchanged in after-hours trading.