Starbucks is exploring options for partnerships in its Chinese operation.

In a statement issued following a report by Bloomberg News citing people with knowledge of the matter saying a sale was being discussed, Starbucks issued a statement which stops short of denying a sale.

“We are fully committed to our business and partners, and to growing in China. As we said on our Q4 earnings call, Brian (Niccol) is spending time [to] better understand our operations as well as the macro and competitive challenges in China. We are working to find the best path to growth, which includes exploring strategic partnerships.”

The coffee chain has also gauged interest from prospective investors, including domestic private equity firms, the Bloomberg report said.

In China, the company has grappled with weak consumer spending and stiff competition from local coffee chains such as Luckin’ Coffee in a weak macroeconomic environment.

The company currently operates more than 7500 stores in over 250 cities on the Chinese mainland, according to its website.

Comparable sales in China, the company’s second-largest market after the US, have declined for three straight quarters, falling 14 per cent in the fourth quarter.

• Reporting by Angela Christy in Bengaluru; Editing by Abinaya Vijayaraghavan, of Reuters.