Moutai to consolidate its financial services

The world’s most valuable alcohol producer, China’s Kweichow Moutai, plans to consolidate its lending and other financial services into a single financial holding unit to improve efficiency, Caixin reports. The $92.8-billion premium grain liquor company currently has its fingers on lending, fund management, leasing and insurance. By putting all these businesses under one roof, they will “play a significant role” in Moutai’s vast booze empire, the company said in a statement. The unit will apply to the financial regulator for an operating license, said people close to the Guizhou-based alcohol maker, adding that Moutai plans to expand its lending to other companies in its supply chain. Late last month, Moutai had announced a plan to inject 867 million yuan ($130.2 million) of cash into a nonbank financing unit, in which Moutai holds 51% and its parent group and other sister units hold most of the remaining stake.