Guan Cha Zhe Wang·2025-11-04 00:32Core Insights - Starbucks has announced a strategic partnership with Chinese alternative asset management firm Boyu Capital to establish a joint venture for operating its retail business in China [1] - Boyu will hold up to 60% equity in the joint venture, while Starbucks retains 40% equity and continues to own and license the Starbucks brand and intellectual property [1] - The enterprise value of the joint venture is approximately $4 billion, excluding cash and debt, with Boyu acquiring corresponding equity [1] Summary by Sections - Joint Venture Structure - The new joint venture will be headquartered in Shanghai and will manage the existing 8,000 Starbucks stores across China [1] - The partnership aims to expand the number of Starbucks locations in China to 20,000 in the future [1] - Valuation and Financial Implications - Starbucks estimates the total value of its retail business in China to exceed $13 billion, which includes the value from the equity transferred to Boyu, the retained equity value, and ongoing licensing revenue over the next decade or longer [1]