Starbucks Corp is weighing strategic options for its Japan operations, including a potential stake sale, according to a Bloomberg News report citing people familiar with the matter. The review comes as the Seattle-based coffee chain reassesses its international portfolio amid ongoing efforts to improve profitability and streamline operations.
The Japan business could be valued at between ¥400 billion and ¥500 billion, or about US$2.5 billion to US$3.1 billion, and may attract interest from rival operators as well as private equity investors, the report added. Starbucks has not publicly commented on the matter and Reuters reported that the information could not be independently verified.
The potential move comes more than a decade after Starbucks fully consolidated its Japan operations in 2014, when it acquired the remaining stake in its local joint venture. Japan remains one of the company’s most established international markets, with a strong retail footprint and brand presence across major cities.
The development also follows broader portfolio adjustments by Starbucks Corp, including recent restructuring moves in its China business, as the company under chief executive Brian Niccol focuses on balancing growth with margin recovery. While Starbucks recently posted its strongest quarterly sales growth in more than two years, rising costs and operational pressures continue to shape investor expectations around its turnaround strategy.
Reuters
