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Yahoo
09-07-2025
- Business
- Yahoo
Starbucks (SBUX) Stock Trades Up, Here Is Why
Shares of coffeehouse chain Starbucks (NASDAQ:SBUX) jumped 3.1% in the pre market session after the company received strong interest for a stake in its China business, with bids valuing the unit at up to $10 billion. The coffee giant is reportedly evaluating non-binding offers from nearly 30 private equity firms, including both international and domestic players like Centurium Capital, Hillhouse Capital, The Carlyle Group, and KKR & Co. This strategic review comes as Starbucks faces intense competition in the crucial Chinese market. While no final decision has been made, reports suggest Starbucks aims to retain a significant stake of around 30% in the unit, seeking a strategic partner to help navigate the competitive landscape and drive long-term growth. Investors are reacting positively to the news, as a potential deal at such a high valuation could unlock significant value for shareholders and validate the long-term potential the company sees in its China operations. After the initial pop the shares cooled down to $95.11, up 0.2% from previous close. Is now the time to buy Starbucks? Access our full analysis report here, it's free. Starbucks's shares are somewhat volatile and have had 11 moves greater than 5% over the last year. In that context, today's move indicates the market considers this news meaningful but not something that would fundamentally change its perception of the business. Starbucks is up 3.2% since the beginning of the year, but at $95.11 per share, it is still trading 17.9% below its 52-week high of $115.81 from February 2025. Investors who bought $1,000 worth of Starbucks's shares 5 years ago would now be looking at an investment worth $1,293. Here at StockStory, we certainly understand the potential of thematic investing. Diverse winners from Microsoft (MSFT) to Alphabet (GOOG), Coca-Cola (KO) to Monster Beverage (MNST) could all have been identified as promising growth stories with a megatrend driving the growth. So, in that spirit, we've identified a relatively under-the-radar profitable growth stock benefiting from the rise of AI, available to you FREE via this link. Error in retrieving data Sign in to access your portfolio Error in retrieving data Error in retrieving data Error in retrieving data Error in retrieving data
Reuters
09-07-2025
- Business
- Reuters
Starbucks China attracts bids at up to $10 billion valuation, CNBC reports
July 9 (Reuters) - Starbucks' (SBUX.O), opens new tab China business has attracted offers for a potential stake sale, valuing the coffee chain unit at up to $10 billion, CNBC reported on Wednesday, citing people familiar with the matter. Asia-based private equity firms Centurium Capital and Hillhouse Capital as well as U.S. peers Carlyle Group (CG.O), opens new tab and KKR & Co (KKR.N), opens new tab are among the contenders vying for a stake in Starbucks' China business, the report added. There is a possibility of Starbucks retaining a 30% stake, with the rest split among a group of buyers, each holding less than 30%, the CNBC report said. Starbucks, Centurium, Hillhouse, Carlyle and KKR did not immediately respond to Reuters requests for comment. Reuters could not immediately verify the report. Starbucks said last month that it is not currently considering a full sale of its China operations, after the coffee maker kicked off a formal sale process of its China operations in May. Almost 30 domestic and foreign private equity firms in China have submitted non-binding offers and Starbucks is in the process of evaluating the offers, deal structure proposals and value creation pitches from the bidders, the report said. The bidders could be shortlisted within two months, but the entire deal is unlikely to be completed by the end of this year, CNBC said.
Yahoo
09-07-2025
- Business
- Yahoo
Starbucks China attracts bids at up to $10 billion valuation, CNBC reports
(Reuters) -Starbucks' China business has attracted offers for a potential stake sale, valuing the coffee chain at up to $10 billion, CNBC reported on Wednesday, citing people familiar with the matter. Centurium Capital, Hillhouse Capital and U.S. private equity firms Carlyle Group and KKR & Co are among the contenders vying for a stake in Starbucks' China business, the report added. Reuters could not immediately verify the report.
Yahoo
26-06-2025
- Business
- Yahoo
Could Starbucks be considering a partial sale of its China business?
You can find original article here Nrn. Subscribe to our free daily Nrn newsletter. Starbucks is not considering a full sale of its China division, despite months of rumors that the coffee chain would offload its second-largest global market outside the U.S., according to Reuters. Chinese financial magazine Caixin reported that 20 potential buyers have been in talks with Starbucks China, including private equity firm Hillhouse Capital, which participated in a reverse management roadshow with the coffee chain's Chinese division. This format traditionally allows potential investors to visit a company's facilities and see them firsthand. "I can confirm Starbucks is not currently considering a full sale of its China operations,' a Starbucks spokesperson told Reuters. A Starbucks China spokesperson elaborated further to Bloomberg, stating, 'We see significant long-term potential in the market and are evaluating the best ways to capture the future growth opportunities.' In November 2023, Luckin Coffee overtook Starbucks as the largest coffee chain in China, prompting rumors that the company would be selling off its China business. Starbucks CEO Brian Niccol recently denied that the company would be offloading its China business, though has called competition in the market 'extreme,' likely referring to Luckin Coffee's dominance in the region. 'As we see signs of progress, I want to be clear that we remain committed to China for the long term,' Niccol said in the company's most recent earnings call in April. 'We see great potential for our business there in the years ahead and remain open to how we achieve that growth.' This marks the first time Starbucks has used the phrase "full sale" when discussing its options for the region, suggesting the company might be open to a partial sale given the pressures from growing competition from Luckin Coffee and others. Since last year, Starbucks China has shuffled its top leadership team, including the promotion of Molly Liu to sole CEO of the division, and the appointment of Starbucks China's first chief growth officer last December. Contact Joanna at Sign in to access your portfolio
Bloomberg
23-06-2025
- Business
- Bloomberg
Starbucks Rises on Report It's Mulling Sale of China Business
Starbucks Corp. shares rose in late trading on Monday after Caixin Global reported the company is considering a full sale of its China business, citing people familiar with the matter. The company has held preliminary talks with more than a dozen potential partners, including private equity firms Hillhouse Capital Group, FountainVest Partners and Trustar Capital, Caixin reported.
