Zheng Quan Shi Bao Wang·2025-11-04 09:37Core Insights - Starbucks has entered a strategic partnership with Boyu Capital to establish a joint venture for its retail operations in China, with Boyu holding up to 60% equity and Starbucks retaining 40% [1] - The partnership aims to leverage Boyu's local market expertise to accelerate Starbucks' expansion in China, particularly in smaller cities and emerging regions [1] - Starbucks anticipates the total value of its retail business in China to exceed $13 billion, comprising the equity transferred to Boyu, retained equity, and ongoing licensing revenue [1] Group 1: Strategic Partnership - The joint venture will be headquartered in Shanghai and manage approximately 8,000 Starbucks stores in China, with plans to expand to 20,000 stores [1] - Starbucks has been exploring strategic partnerships for over a year to enhance its competitive position and drive growth in the challenging Chinese market [2][3] - The CEO of Starbucks indicated that the company is open to introducing partners and is not in a rush to finalize the process [3] Group 2: Financial Performance - In Q4 of fiscal year 2025, Starbucks reported revenues of $9.6 billion, a 5% increase year-over-year, with global same-store sales growing by 1% [4] - Starbucks China achieved revenues of $831.6 million in Q4 2025, marking a 6% year-over-year growth and maintaining growth for four consecutive quarters [4] - For the entire fiscal year 2025, Starbucks China generated $3.105 billion in revenue, reflecting a 5% increase [4] Group 3: Boyu Capital Overview - Boyu Capital, established in 2011, is a leading alternative asset management firm with a diversified investment portfolio across private equity, public markets, infrastructure, and venture capital [5] - The firm has a history of successful investments in various sectors, including technology and consumer goods, and has shown interest in emerging markets [5][6] - Boyu Capital's historical fund net internal rate of return (IRR) is over 25%, significantly higher than the average of 15% for Asian private equity funds [6]