Nestle loses Chinese takeover

Opposition from employees and agricultural experts has stopped Swiss-based food and beverage producer Nestle acquiring control of Diequan Milk in Yunnan province, Business Weekly said. Under a deal brokered by local officials last April, Nestle would have paid Yn40m for 80 per cent of the firm, which is currently owned by the local county government. However, employees and experts argued that the price was too low for an enterprise with assets valued last year at Yn113m, and the deal was abandoned. Nonetheless, a county official said that talks with Nestle were continuing.