McDonald's Singapore
McDonald's files $20m lawsuit against the city of Florence. Picture: A man passes a McDonald's restaurant in Singapore July 25, 2016.Reuters

McDonald's Corporation is in last round of talks to sell franchise rights in Malaysia and Singapore to Saudi Arabia's Reza Group for upto $400 million. The aim to sell off franchise rights is part of the company's plan to revamp its business in Asia.

Reza Food Services Co. Ltd. owns and manages McDonald's restaurants in the western and southern regions of Saudi Arabia, the firm has hired Malaysian bank CIMB to finance the transaction. McDonald's is planning to hire partners since it aims to turn into a less-capital intensive franchise model in Asia, Reuters reported.

The Illinois-based company, which is the world's largest chain of hamburger fast food restaurants, was keen to tie up with a regional family-owned group as it reportedly seeks long-term partners over buyout firms.

According to the agency, the Malaysian bank would carry the bulk of the term loan to back the deal. The financing for the deal would be carried out in both Malaysian Ringgit and Singapore dollars.

Last month, it was reported that McDonald's had received interests from at least three consortium groups for its China and Hong Kong outlets. At present, the fast food chain serves 68 million consumers every day in 119 countries across 36,538 outlets. It has about 260 outlets in Malaysia and 120 outlet restaurants in Singapore.