Carlyle Group and Trustar Capital to raise $4 Billion to Purchase their Stakes in McDonald's

In accordance with news reports, Carlyle Group Inc and Trustar Capital plan to raise $4 billion from wealth funds to buy a portion of their stakes in McDonald's Corp operations in Hong Kong and mainland China. According to the report, which cites people familiar with the matter, the move would provide a partial exit for the buyout firms after they purchased the business six years ago.

The plan has been approved by shareholders, and the asset managers have approached Mubadala Investment and GIC Pte to finalise a deal that values the company at up to $10 billion including debt, according to the report.

The asset managers aim to reach an agreement with investors in the fourth quarter of this year, the report added.

It had reported in April citing two people with knowledge of the matter that the U.S.-based private equity firm was discussing various options including setting up a continuation fund with financial advisers for its stake in McDonald's China.