McDonald’s sells most of China and HK business for US$2.1bil

HONG KONG: McDonald’s Corp has agreed to sell the bulk of its China and Hong Kong business to state-backed conglomerate CITIC Ltd and Carlyle Group LP for up to US$2.1bil, seeking to expand rapidly without using much of its own capital.

The 20-year deal caps months of negotiations between the fast-food chain, private equity firms including Carlyle and TPG Capital Management LP as well as several Chinese suitors.