Starbucks to buy out joint venture partner in Japan

A Starbucks location in Times Square, New York
Scott Mlyn | CNBC

Starbucks Corp on Tuesday said it plans to buy the remaining 60.5 percent share of Starbucks Coffee Japan Ltd that it does not already own, in a two-step deal valued at about $913.5 million.

Starbucks Japan has operated as a joint venture between Starbucks and Sazaby League since 1995.

Over the summer, Sazaby approached Starbucks about selling its Starbucks Japan ownership stake to Starbucks, the world's biggest coffee chain said in a statement.

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Starbucks expects to have a controlling interest in Starbucks Japan before its fiscal first quarter ends on Dec. 28.

Starbucks expects the transaction to be immediately accretive to earnings, excluding items.

There are currently more than 1,000 Starbucks cafes in Japan, which is Starbucks' second-largest in terms of revenue from its coffee shops.