Here Are The Consortiums That Are Interested In Yum Brands' China Stake

Yum! Brands, Inc. YUM search for a buyer to acquire a minority stake in its China unit appears to be advancing with several parties interested.

Reuters, citing "people familiar with the matter," reported Singapore's government-backed Temasek Holdings and a consortium that also includes China Investment Corp and KKR & Co have advanced to a second round of bidding.

Reuters added that a second consortium backed by a private equity player has also advanced to a second round of bidding. However, the identity of the entity cannot yet be confirmed.

Related Link: Goldman Sees Yum's Conservative Tone On China As "Appropriate, Accurate"

Reuters added that its sources are indicating the unit could be valued between $8 billion and $11 billion based on its core earnings of around $1 billion.

Reuters also noted that some of the bidders are more interested in acquiring a controlling stake of the unit, but Yum Brands management is only willing to sell a minority stake because it is more tax-efficient.

Finally, a spokesperson for Yum Brands told Reuters, "We continue to make good progress since we announced the transaction separating Yum and Yum China into powerful, independent, focused companies by the end of 2016."

Shares of Yum Brands have gained nearly 10 percent since the start of 2016 but have lost nearly 15 percent over the past year.