China will make an anti-monopoly review of Coca-Cola’s proposed multi-billion-dollar takeover of Chinese juice producer Huiyuan, state media reported. A Commerce Ministry spokesman said a review is necessary because of the large amount of money involved. Last week, Coca-Cola announced plans to buy Hong Kong-listed Huiyuan Juice Group for US$2.4 billion. But, under an anti-monopoly law that took effect last month, the deal has to be reviewed. The two companies would control 37% of China’s juice drink market, according to a Merrill Lynch report. It is not known how long the review will take, because it is unclear how the new anti-monopoly law will be applied. Monday’s Beijing Morning Post said some Chinese juice companies plan to send a letter to the Commerce Ministry to try to block the deal, saying it would drive them out of business.
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