A UNIT run by State-owned conglomerate CITIC Group has put up for sale a 42.3 percent stake in Fast Food Holdings Ltd., which controls the Chinese operations of McDonald’s Corp.

The unit, Starry Dream Investments, plans to raise at least 2.17 billion yuan (US$312 million) through the sale, a filing to the China Beijing Equity Exchange showed yesterday.

Starry Dream Investments currently owns 61.54 percent of Fast Food Holdings Ltd., the filing said. The remaining 38.46 percent is owned by CCP Fast Food Holdings.

McDonald’s Corp. in 2017 agreed to sell the bulk of its mainland and Hong Kong business to State conglomerate CITIC Ltd. and Carlyle Group LP for up to US$2.1 billion, saying at the time that they hoped tying up with local partners could speed up growth in the world’s No. 2 economy.

CITIC Ltd. and CITIC Capital held a controlling stake of 52 percent while Carlyle and McDonald’s held interests of 28 percent and 20 percent, respectively, CITIC said at the time.

The stake sale comes as the fast-food chain saw revenue and profit growth stall amid fierce competition in China’s dining scene.  (SD-Agencies)