Source: CCTV.com

10-25-2006 11:44

Coffee chain Starbucks has brewed up a huge deal in China. It has acquired a 90 percent stake in Beijing Mei Da Coffee, which is the authorized operator of its Beijing and Tianjin stores. The move effectively makes Starbucks a manager of its North China sales.

The financial terms of the transaction is not disclosed. But both Starbucks and H&Q Asia Pacific, the majority shareholder of Mei Da, calls it a win-win deal.

Beijing Sanyuan Diary continues to be a minority shareholder of Mei Da, controlling the remaining 10 percent.

Starbucks opened its first store in China in 1999, and soon gained recognition in this traditional tea-drinking country. It now has over 430 stores in the country.

Starbucks has three authorized operators in China's north, east and south regions. Strong growth has led the company to increase the stakes in its east and south operators to 50 and 51 percent respectively in the past years.

Starbucks views China as its most important and potentially the largest market outside North America.

 

Editor:Ge Ting