McDonald's' Planned Sale Of China And Hong Kong Stores Gets Positive Response
McDonald's planned sale of about 2,800 restaurants across Northeast Asia has attracted a flood of offers. The fast food chain received more than six bids for their China and Hong Kong stores, including from Beijing Tourism Group, Sanpower and ChemChina, in about $3 billion worth deal, Reuters reported Tuesday, citing people familiar with the matter.
As part of the proposal, McDonald's is reportedly offering a 20-year master franchise agreement to buyers, but the restrictions attached to it are said to be discouraging the potential bidders.
Some global buyout firms including Bain Capital, TPG Capital and Carlyle Group, who are seeing to partner with Chinese bidders, are also taking part in the auction.
Beijing Capital Agribusiness Group, McDonald's China partner, and GreenTree Hospitality, are also said to be preparing to place bids.
In China, McDonald's is the second major fast food retailer behind Yum Brands. Last year, Yum was said to be in the process of spinning off its 6,900 China restaurants.(dpa)
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