Feihe Dairy plans to acquire 70 pct of Guanshan with RMB 300 million
to acquire 70 percent of shares of Guanshan Dairy for about RMB 300 million ($49 million), to extend its dairy business with goat milk powder for high-end consumers.
Though the deal is still to be finalized, Leng Youbin, chairman of Feihe Dairy, told China Daily on Wednesday that Feihe hopes to copy their cow milk production chain and transform Guanshan's household farming of goats into large-scale production. He said the goat milk powder market, now worth 3 billion yuan, is expected to grow into an industry valued at 10 to 20 billion yuan in 10 years. Feihe will keep Guanshan's brand. Goat milk powder often costs twice the price of cow milk powder and is beneficial to those who are allergic to cow milk, Leng said.
Michael Boddington from Asian Agribusiness Consulting (AAC) has been involved in agribusiness in Asia since 2000. AAC has office both in Vietnam Ho Chi Minh City and China Beijing. So AAC has a thorough understanding of the Viet Nam and China aqua industry and produces up-to-date research reports on the market. We can offer insights on supply and demand trends and comments on the future structure of Asian agribusiness. If you would like to know more please email This email address is being protected from spambots. You need JavaScript enabled to view it.
http://sn.cnr.cn/zuixinxiaoxi/201402/t20140220_514894986.html