UAE and other Middle Eastern firms eye McDonald's China investment

UAE and Middle Eastern Investment Giants Eye Joint Venture in McDonald's China

In a bid to expand their global investment portfolios, prominent Middle Eastern investment entities, including Mubadala Investment from the UAE, Qatar Investment Authority, and China Investment Corporation, are contemplating a collaborative venture to invest in McDonald's China as minority shareholders.

Sources familiar with the ongoing discussions have disclosed that these companies are actively considering the prospect of joining forces to secure a stake in McDonald's operations in China. Despite the keen interest from all parties involved, negotiations are currently progressing at a measured pace, with the potential agreement expected to materialize over the course of the next 1-2 months.

One of the primary sticking points in the negotiations revolves around the valuation of McDonald's China, underscoring the intricate nature of the deal. With China emerging as McDonald's second-largest market globally, boasting a network of over 5,500 restaurants, the investment potential in the country's fast-food industry remains substantial. McDonald's ambitious plans to further expand its footprint in China, aiming to reach a staggering 10,000 restaurants by 2028, have undoubtedly captured the attention of investors worldwide.

As the discussions continue, market analysts are closely monitoring the developments, anticipating the outcome of this potential joint venture and its implications for both McDonald's China operations and the broader investment landscape in the region.