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Starbucks to exit South Korea venture, sell stake to E-Mart, GIC

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Reuters

<p>Starbucks Corp said on Monday it will exit any direct ownership in South Korea, its fifth-largest market, selling the 50 percent stake it owns in a joint venture to local partner E-Mart Inc and Singapore&#x27;s sovereign wealth fund, GIC.</p><p>E-Mart, which currently owns 50 percent of Starbucks Coffee Korea, said it would acquire an additional 17.5 percent take that would be worth 474 billion won ($411.89 million).</p><p>That also suggests a $2.35 billion valuation for Starbucks Coffee Korea, Reuters calculations showed.</p><p>GIC will own the remaining 32.5 percent of the venture, Starbucks said.</p><p>The US coffee chain operates more than 1,500 stores across 78 cities in South Korea, where 2020 revenue rose 3.2 percent to 1.93 trillion won despite the COVID-19 pandemic.</p><p>&quot;As a long-term investor, GIC is confident that Starbucks Coffee Korea will play an important role in setting retail coffee trends and further driving industry growth,&quot; said Choo Yong Cheen, GIC&#x27;s chief investment officer of private equity.</p><ul class="op-related-articles">	<li><a href="https://news.abs-cbn.com/business/01/27/21/starbucks-sales-miss-as-virus-spike-keeps-customers-at-home">Starbucks sales miss as virus spike keeps customers at home</a></li>	<li><a href="https://news.abs-cbn.com/business/11/03/17/starbucks-sales-and-profit-forecast-disappoint-shares-drop">Starbucks sales and profit forecast disappoint, shares drop</a></li></ul><div><strong>FROM OUR ARCHIVES: </strong></div><figure class="op-interactive"><iframe allow="autoplay; fullscreen" frameBorder="0" height="100%" id="ivsplayer01" scrolling="no" src="https://player.ivideosmart.com/ivsplayer/v4/dist/html/iframe-src.html?iframeid=ivsplayer01&amp;key=e8c22c015ca9eafa76f1e3edfa03c603&amp;spid=3001339&amp;vid=1735428" width="100%"></iframe></figure><div class="iwantbar">Watch more in <a href="//www.iwantv.com.ph/">iWantv</a> or <a href="//tfc.tv/">TFC.tv</a></div>

<p>Starbucks Corp said on Monday it will exit any direct ownership in South Korea, its fifth-largest market, selling the 50 percent stake it owns in a joint venture to local partner E-Mart Inc and Singapore's sovereign wealth fund, GIC.</p>

Starbucks Corp said on Monday it will exit any direct ownership in South Korea, its fifth-largest market, selling the 50 percent stake it owns in a joint venture to local partner E-Mart Inc and Singapore's sovereign wealth fund, GIC.