Starbucks has shortlisted Boyu Capital, Carlyle Group, EQT, and HongShan as finalists for its China unit sale, according to three sources familiar with the matter.

The four private equity firms received confirmation letters from the sellside last week, the sources said.

The winner of the Goldman Sachs-run sale process is expected to be announced by the end of October, one of the sources added.

EQT is likely partnering with co-investors, including Chinese private equity firm Primavera Capital, according to two other sources.

The financial sponsors were selected following a bidding round that closed on 27 August, and drew interest from more than ten bidders.

Bidders have valued Starbucks China at approximately USD 5bn, implying a multiple of around 10x its projected 2025 EBITDA of USD 400m-USD 500m, Reuters reported on 5 September.

A Mergermarket report in June estimated Starbucks’ China unit could be valued at more than USD 5bn.

A spokesperson from Starbucks declined to comment. Carlyle, EQT and HongShan declined to comment. Boyu did not respond to requests for comment.

[Editors note: Paragraph four has been updated to include additional details.]