Starbucks announced it will sell a 60% stake in its China business to Hong Kong-based private equity firm Boyu Capital for $4 billion, retaining a 40% stake while maintaining brand ownership. The deal values Starbucks’ China retail operations at $13 billion and follows years of market share losses to local competitors like Luckin Coffee. The business will remain headquartered in Shanghai and operate 8,000 outlets, with plans to expand to 20,000 locations. Starbucks CEO Brian Niccol called the partnership a “significant milestone” for long-term growth, combining the brand’s coffee expertise with Boyu’s understanding of Chinese consumers. The deal is expected to finalize next year.