Fast food giant McDonald's Corporation has agreed to acquire Carlyle’s minority stake in the strategic partnership that operates and manages McDonald’s business in mainland China, Hong Kong and Macau.

The deal will increase McDonald’s stake from 20% to 48%. The remaining 52% controlling ownership stake will be held by the Chinese alternate investment management company CITIC Capital.

CITIC Capital chairman and CEO and McDonald's China chairman Yichen Zhang said: “As McDonald’s China’s controlling shareholder, we are thrilled by McDonald's Corporation's continued commitment to our long-term partnership and the China market.

“As we reach towards our goal of 10,000+ restaurants by 2028, we are more confident than ever in our ability to serve the Chinese consumer with McDonald's iconic taste.”

The partners have agreed to continue their collaboration in the future as the restaurant brand executes its Accelerating the Arches growth strategy in the market.

They aim to develop and open new restaurants and foster deeper customer engagement.

McDonald’s president and CEO Chris Kempczinski said: “Our strategic partnership with CITIC and Carlyle has been extremely successful in growing McDonald’s presence in the region since it began. China is now our second largest market; we've doubled our restaurants to more than 5,500 since 2017.

“We believe there is no better time to simplify our structure, given the tremendous opportunity to capture increased demand and further benefit from our fastest growing market’s long-term potential.”

The deal is expected to close in the first quarter of 2024, subject to customary regulatory approvals.