Starbucks weighs stake sale in Japan business: Bloomberg

Starbucks is exploring strategic options for its Japanese business, including the possibility of selling a stake, according to a Bloomberg News report. The valuation for such a stake sale could range from approximately 400 billion to 500 billion yen ($2.5 billion to $3.1 billion USD).

The potential sale of a stake in its Japanese operations follows Starbucks's recent divestment of control in its Chinese business to Boyu Capital in April, a deal that valued that operation at $4 billion. This suggests a broader strategic review of its international holdings by the coffee giant.

Industry players and private equity firms may show interest in acquiring a stake in Starbucks's Japanese venture. The company bought out its partner's remaining stake in Starbucks Coffee Japan Ltd. in 2014, having operated as a joint venture since 1995.

These considerations come as Starbucks navigates rising costs under CEO Brian Niccol's turnaround strategy. While the company reported its strongest quarterly sales growth in two and a half years in April, the pace of profit margin recovery remains a key question for investors.