The fast-food giant will retain its stake in Pret a Manger, but will close outlets in Japan and sell off its Boston Market chicken outlets in Canada and Australia, and its Donatos Pizzeria chain in Germany.
It is also exiting its joint venture with Italian chain Fazoli's and is selling its Donatos Pizzeria in the US back to its founder.
The sell-off follows a recent flurry of negative press amid increasing concerns about child obesity and the fast-food industry's role in it, which has seen McDonald's come under constant fire.
The move is to allow it to concentrate its resources on its 17,000 McDonald's outlets outside the US and invest in its Chipotle restaurants and Boston Market chicken chain in the US.
Jim Cantalupo, McDonald's chairman and CEO, said the move was in line with the company's objective to do fewer things better to drive long-term growth.
"We will begin 2004 with a clear direction for what we need to do with these brands," Cantalupo said. "We will concentrate our efforts primarily on Chipotle and Boston Market in the United States, concepts that have potential for long-term growth and benefit to McDonald's."
He added: "These two brands are sizeable companies that can operate autonomously. We believe this new focus and discipline makes the most sense for our company, our shareholders and our ongoing business momentum."
McDonald's has more than 30,000 local McDonald's restaurants serving 47m customers each day in more than 100 countries.
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