COKE'S OFFER FOR HUIYUAN RAISES CONCERNS

| BY

clpstaff &clp articles

Coca-Cola's US$2.5 billion offer to buy fruit juice company Huiyuan is touted as the biggest takeover transaction by a foreign company in China. However…

Coca-Cola's US$2.5 billion offer to buy fruit juice company Huiyuan is touted as the biggest takeover transaction by a foreign company in China. However market restrictions remain a key issue in the case, according to Kirstie Nicholson, of counsel at Lovells Shanghai.

Although Huiyuan has a significant market share in the pure juice market, it has been reported that the company's share is considerably lower in China's overall juice market. Therefore defining Huiyuan's market position is the issue. Nicholson said that parties are likely to advocate a wide market definition, while those who oppose the case will go for a narrow definition.

This premium content is reserved for
China Law & Practice Subscribers.

  • A database of over 3,000 essential documents including key PRC legislation translated into English
  • A choice of newsletters to alert you to changes affecting your business including sector specific updates
  • Premium access to the mobile optimized site for timely analysis that guides you through China's ever-changing business environment
For enterprise-wide or corporate enquiries, please contact our experienced Sales Professionals at +44 (0)203 868 7546 or [email protected]