Temasek and Hopu buy USD213 million stake in Chinese dairy company

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Singapore's state investor Temasek Holdings and China's private equity firm Hopu bought a USD213 million stake in Yashili International Holdings Ltd, together with three other investors. Yashili's parent company China Mengniu Co Ltd sold some its shares to comply with the requirements of Hong Kong listing.

Temasek, Hopu, and the three other investors agreed to purchase 471.13 million of Yashili's shares from the dairy company for HKD3.5 per share. The total deal was priced at HKD1.65 billion or USD213 million. This was according to a securities filing on Monday, said a report.

In June, Mengniu offered USD1.6 billion for Yashili, but it received offers to buy 89.82% of the company's stock. Mengniu needed a 90% threshold to make a compulsory acquisition of Yashili's remaining shares. When the buyout offer ended in August, it had to sell down its Yashili stake to comply with Hong Kong's public float requirements, Reuters reported.

Tags
Singapore, China, Hong Kong, Reuters

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