Langzhou Huanghe to Sell Stakes in Huanghe Beer

[2008-12-23 17:07:01]

Friday, 12 December 2008
Shenzhen -- Langzhou Huanghe Enterprise Company Limited said in a statement made on October 11 that it was about to sell 75 percent of stakes in Huanghe Beer Company Limited, one of its subsidiaries, for CNY 3.8 million.



Through the deal, the group hopes to spin off stakes in the money-losing subsidiary and improve its financial situation and profitability.



The statement says that the board of the company approved the initiative in a meeting held on December 9, 2008.



Founded on December 31, 1992, Huanghe Beer is specialized in production and recycling of beer bottles. Langzhou Huanghe Enterprise is the biggest beer maker in Northwestern China. It is holding 75 percent of the beer market there.



By the end of October 31, 2008, the subsidiary had CNY 191.83 million in total assets, with total debts of CNY 186.76 million. Net assets reached CNY 5.06 million.



Copyright 2008 SinoCast Daily Business Beat. All rights reserved
Source: beverage world
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