Starbucks forms joint venture with Chinese investment firm

(CNN)– Starbucks says it plans to form a joint venture with investment firm Boyu Capital.

The deal is valued at $4 billion.

Starbucks says the partnership marks a milestone in the coffee giant’s future in China.

The agreement will give Boyu up to 60% interest in Starbucks’ retail operations in China.

Starbucks will retain a 40% interest in the joint venture and will continue to own and license the Starbucks brand and intellectual property to the new entity.