One of the most famous fast food chains McDonald’s have agreed to sell the majority share of their business in China and Hong Kong to Chinese state conglomerate CITIC and private American investment Carlyle, sources from Reuters report.
Acquiring is settled for the sum of $2.1 billion dollar, having been accompanied with months of negotiations with fast food chain and the consortium for the purchase of around 2400 restaurants.
Initial plans were for the agreement to be accomplished at the sum of $3 billion.
Later, however, the American company decided to keep a minority share in the business, aiming to take advantage of the future effects of growth in China, as was recently confirmed by a source, directly familiar with the plans, to Reuters.
CITIC will be the owner of 32% of the restaurants in the Asian country, and the company’s branch CITIC Capital, which runs shareholding and other alternative assets, will take over another 20 per cent.
Carlyle company will control 28% of the business, while McDonald’s keep 20 per cent, sources from the companies stated.