China’s Sanpower confirms joint bid for McDonald’s HK, China assets

File photo of a woman walking past a McDonald's outlet in Hong Kong

HONG KONG (Reuters) – China’s Sanpower Group said it has submitted a joint bid with Beijing Tourism Group for McDonald’s <MCD.N> Hong Kong and China businesses, confirming information provided by people familiar with the matter a day earlier.

“In recent years, we are building more offline commercial stores, aiming to provide better shopping experience for consumers. McDonald’s could provide new brand elements for us,” Sanpower spokesman Zou Yan said in an email.

Sources familiar with the matter said McDonald’s has received more than half a dozen bids for its China and Hong Kong stores, including offers from Beijing Tourism Group, Sanpower and ChemChina, in an auction that could fetch up to $3 billion.

Sanpower’s interest in McDonald’s assets comes two years after its Shanghai-listed retail arm bought 89 percent of the owner of British department store House of Fraser for $803 million.

(Reporting by Tris Pan; Writing by Saeed Azhar; Editing by Edwina Gibbs)