McDonald’s has announced that it is increasing its minority share ownership in its China business from 20% to 48%. The fast-food giant sold off control of its restaurants in mainland China, Hong Kong, and Macau in 2017 for $2.1 billion. At that time, Citic, a state-owned investment firm, took the majority stake, while private equity giant Carlyle bought a 28% stake. McDonald’s held onto 20% of the business.

Now, McDonald’s is buying Carlyle’s stake in its China business, increasing its minority share from 20% to 48% ownership. Financial terms of the deal announced Monday were not disclosed, but it is expected to close in the first quarter of 2024, assuming regulators approved it. Citic still retains its 52% stake in the business.

McDonald’s CEO Chris Kempczinski stated that he believes there is no better time to simplify their structure given the tremendous opportunity to capture increased demand and further benefit from their fastest growing market’s long-term potential. Since 2017, McDonald’s has doubled its footprint in China to more than 5,500 and aims to reach