Guangnan in $111m deal

Guangnan (Holdings) is to invest $111.3 million in a food joint venture to boost its earning base. It will take a 56 per cent stake in Guangnan Hengchang Co, which has a registered capital of $198.9 million. The remainder will be held by state-owned Guangdong Provincial Foods Enterprises Group Co, through Guangdong Hengchang Industry & Commerce. Guangnan will take a 30 per cent interest, worth $37.5 million, in Guangdong Hengchang Industry & Commerce, and contribute $73.9 million cash to the venture, which will produce feed materials and additives, and manufacture and sell food in China and overseas.