China’s Commerce Ministry confirmed the action in a Chinese-language press release, available here.
The deal first came to play in September and was touted as the biggest foreign acquisition deal over a Chinese company in history, as well as Coca-Cola’s largest foreign purchase.
The deal first came to play in September and was touted as the biggest foreign acquisition deal over a Chinese company in history, as well as Coca-Cola’s largest foreign purchase.
Huiyuan is China’s leading juice producer.
Speculation as to Coke’s actions was debated in the early hours of the day with some news sources suggesting the merger would go forward following Coke’s recent promise to funnel and additional US$2 billion into China over the next three years to boost production, sales and marketing in the market.
Were the deal to proceed, Coca-Cola would claim approximately 18 per cent of China’s beverage market.
"We will now focus all of our energies and expertise on growing our existing brands and continuing to innovate with new brands, including in the juice segment," said Muhtar Kent, president and CEO of The Coca-Cola Company.
“We will also continue our community investments in China. Whether it is working with Project Hope to help build schools and libraries across China, or working with educators to construct technology and multimedia centers for Chinese schools, or partnering with Government authorities to promote environmental education, or the World Wildlife Fund to help conserve and protect China’s precious water resources - we are firmly committed to a sustainable and prosperous future for all of China.”
