Business Intelligence on Retailing, Franchising, and Consumerism in China


Danone Becomes Second Largest Shareholder Of Mengniu

China's Mengniu and France's Danone jointly announced in Hong Kong that the two parties have signed an agreement under which Mengniu will issue new shares to Danone.

The newly issued shares will reportedly account for 6.6% of the total equity of Mengniu and the trading value is about HKD5.153 billion, which is about USD665 million. On the completion of the deal, Danone's stake in Mengniu will be increased from 4% to 9.9%. Meanwhile, Danone will become the second largest shareholder of Mengniu, following Cofco who holds a 16.3% stake in the Chinese dairy company.

ranck Riboud, chairman and chief executive officer of Danone, said this deal is in line with the strategy for Danone. By further investing in Mengniu, Danone will be able to hold a piece of the huge potential in the Chinese cold dairy market.

Prior to this, Cofco and Danone established a joint venture in May 2013. Via this joint venture, Danone gained about 4% stake in Mengniu.






Be the first to comment on "Danone Becomes Second Largest Shareholder Of Mengniu"

Leave a comment

Your email address will not be published.


*




  Other China News

ChinaTechNews.com:

Foxconn Wants To Build New Factory In Nanjing

Countdown Looms For BTCC's Bitcoin Trading End

Chinese Used Goods Platform Cooperates With Foxconn For iPhone Recycling

Huajiao To Invest CNY100 Million For Short Video Development


GreenChinaTech:

Chinese Electric Bus Manufacturer Lands USA Deal

American Electric Car Manufacturer To Build In China

U.S. Clean Water Company Makes Chinese Inroads

GE Will Promote Wind Power Through New Chinese Education Center


ChinaSourcingNews.com: