Danone Asia, a subsidiary of French food giant Group Danone paid the Shanghai government RMB 121.03 million (US$14.59 million) for a 3.58 percent stake in Bright Dairy & Food.
Shanghai State-owned Assets Operation sold Bright Dairy's stake at 86 percent higher than Bright Dairy's net asset per share, according to the company's third-quarter financial report. The deal increased Danone's holdings in Shanghai-listed Bright Dairy to 7.7 percent.
The government, which owns 70 percent of the nation's publicly traded stocks, said it wants to sell shares worth RMB 2.6 trillion to non-state-owned companies.
Danone, the world's largest fresh dairy products and packaged water producer, is also the largest partner with China's two leading beverage makers – Hangzhou Wahaha Group and Guangdong Robust Group.