Bright Dairy (Shanghai: 600597) and Mengniu (HKEx: 2319) are rapidly emerging as China’s 2 dairy firms to watch as Beijing encourages consolidation in the scandal-plagued sector in a bid to create a handful of giants that can win back consumer confidence. Both companies have been in a steady stream of headlines over the last 2 days, showcasing their growing clout not only at home but also on the world stage. Bright is making news as it nears a deal to take a big stake in Israeli dairy Tnuva, and also as it receives big new funding from a global investor. Meantime, Mengniu is also making headlines as it boosts its growing ties with French giant Danone (Paris: DANO), and as its shares mark an important milestone on the Hong Kong stock exchange. Read Full Post…
The following press releases and media reports about Chinese companies were carried on February 12. To view a full article or story, click on the link next to the headline.
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Bright Food Plan Advances To Buy Israel’s Tnuva For Up To 14 Bln Yuan (Chinese article)
Canadian Solar (Nasdaq: CSIQ) Offers 2.6 Mln Shares, $100 Mln Convertible Notes (PRNewswire)
Starbucks (Nasdaq: SBUX) Confirms Use Of Chemical Food Additive In China (English article)
Two major acquisitions of western food firms by Chinese buyers are in the news today, with more bad signs for Shuanghui’s pending purchase of pork maker Smithfield (NSYE: SFD), and word that Shanghai-based Bright Food is seeking a large deal in Israel. Perhaps I’m being a bit pessimistic, but I see both of these deals ultimately failing due to the increasingly sensitive nature of cross-border food acquisitions. Western governments seem prepared to let Chinese firms purchase locally-based makers of individual food products, such as wines or cookies. But those same governments will be far more wary about purchases lower down in their food chains, which have the potential to affect much larger segments of broader food supplies. Read Full Post…
The following press releases and media reports about Chinese companies were carried on September 4. To view a full article or story, click on the link next to the headline.
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China’s Bright Food In Talks To Buy Israeli Food Group Tnuva (English article)
