KKR buys 18% share in Fujian chicken firm

As food safety scandals continue plaguing the country, private equity giant KKR (KKR.NYSE)  has continued its food-safety linked investment in China, buying out 18% of chicken producer Fujian Sunner development (002299.SHE) for US$400 million, Reuters reported, citing KKR’s CEO on Tuesday. “Partnering with companies that meet China’s demand for increased food safety is one of our key focuses,” said David Liu, CEO of KKR Greater China. The money KKR paid for the new shares will be used to increase production at Fujian-based Sunner, which supplies KFC and McDonald’s, and to provide safe chicken products through large-scale farms.