Starbucks says it’s not in the formal sales process for UK businesses

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Starbucks Corp is not in a formal sale process for its UK business, a company spokesperson said in a statement after The Times reported earlier on Saturday that the coffee chain was considering selling its activities in the UK.

According to the Times report, Starbucks has not launched a « formal sale process » of its UK business and continues to « evaluate strategic options » for its company-owned international operations.

The company faces rising costs and competition from rivals such as Pret A Manger, Tim Hortons and Costa, according to the newspaper.

Starbucks suspended guidance for the remainder of the fiscal year when it last reported quarterly results in May as sales growth missed Wall Street targets due to severe COVID-19 restrictions in China.

Starbucks, which has faced recent efforts to organize its US workforce, is seeking a permanent CEO while Howard Schultz would remain interim CEO until the end of March. (Reporting by Shivani Tanna in Bengaluru; Editing by Leslie Adler)