Coke plans $2 billion investment in China
March 9, 2009
According to the Associated Press, Coca-Cola Co. plans to invest $2 billion in China over the next three years on top of the billions of dollars it has already committed to buying out a major Chinese juice producer. The investment would go toward new plant and distribution infrastructure, sales and marketing, and research and development, the world''s largest beverage company said in a statement. The company recently unveiled a new $90 million research and development center in Shanghai. The announcement comes as Chinese regulators are reviewing the company''s $2.5 billion friendly-takeover bid for Huiyuan Juice Group Ltd., the country''s leading maker of pure fruit juices and nectars. The proposal has sparked criticism in China over the possible sale of a prominent national brand name to a foreign company. Under terms of the deal, the companies have 200 days to complete the acquisition from September. That would be around March 23.