China: Hangzhou Wahaha seeking potential takeover of Dean Foods – reports

Hangzhou Wahaha, China’s largest beverage producer, has shown interest in a potential takeover of Dean Foods, the largest milk processor in the US, according to a Financial Times article quoting “four people familiar with the company’s plan”.

The Chinese firm has reportedly approached a number of banks to seek financial backing for a possible move.

Hangzhou Wahaha produces bottled water, milk and tea drinks and reported $7.4 billion in sales last year. In addition, the firm has recently launched multiple shopping centres around China.

Dean Foods focuses on producing and distributing ice cream, milk, juices and teas as well as a number of other products. The company, which owns the Country Fresh and TruMoo brands,  acquired the manufacturing and retail operations of Friendly’s Ice Cream in mid 2016 in a bid to diversify its portfolio.

Source: Financial Times / Bloomberg