A joint consortium led by American private-equity firm Carlyle Group and state-owned Chinese investment company Citic Group Corp. are nearing a deal to acquire McDonald's Corp.'s assets in China and Hong Kong for $3 billion, a source familiar with the matter said.

The deal is likely to be sealed before the festive season of Christmas, the source added.

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The Massachusetts-based investment firm Bain Capital was also part of this consortium, before it pulled out of the bidding race in October, according to news agency Reuters.  

McDonald's China management has so far not issued any official statement nor have the companies involved in the bidding race said anything about the latest development.

McDonald's decision to go for a massive restructuring in its Asia business is reportedly due to prolong pressure on its revenue cycle. Analysts say that the pressure eventually forced the fast food giant to switch for a less capital-intensive franchise model.

The fast food company has hired Morgan Stanley to oversee the sale out process of about 2,400 restaurants across Mainland China and Hong Kong.

McDonald is apparently not the only one going for a major overhaul in its Asian business. Yum Brands, which owns Pizza Hut and KFC, also spinned off its China business in October to cut down on falling profit.

Apart from pressure on profitability, the changing food habits among Chinese consumers have also forced companies to embrace innovative strategies and constantly review its business model. The American fast food giants, though, are willing to endure the market pressure to lure of lucrative Chinese market.  

TagsMcDonald China, Carlyle Group, Mcdonald's China Sale, china, Citic Group Corp