Beijing Yanjing Brewery Co Ltd, that already was in advanced talks to buy assets from China Kingway Brewery Holdings, has broke down the negotiations, due to a disagreement about the price, several newspapers reported this week. Sources were talking about a failed 700 million Dollar deal. Kingway earlier outpaced Anheuser-Busch InBev in the final round of bidding. The auction reportedly had also attracted interest from other Chinese breweries like China Resources and Tsingtao. With Beijing Yanjing Brewery out as a bidder, the process could be re-launched, the source was quoted as saying. Beijing Yanjing Brewery did not give a comment.
“The Company has noted certain media reports today (Wednesday) suggesting that the process under which the Company invited third parties to submit proposals and indicative offers and the ensuing discussions and negotiations in that regard had ended and the process in its entirely might be re-launched. The board of directors of the Company would like to state that the Media Reports were incorrect and that the relevant discussions and negotiations are still continuing. The Company would like to emphasize that no decision has been taken in respect of any actions or transactions referred to in the announcements and that the strategic review is still ongoing.
As the Company may or may not proceed with any actions or transactions referred to in the announcements, shareholders of the Company and public investors are advised to exercise extreme caution when dealing in the securities of the Company.”