H share Tsingtao Brewery last night made its first public statement on its legal battle to assert ownership of the prized Tsingtao trademark.
The company has launched legal proceedings against its former Hong Kong distributor, mainland-linked China Beer (Hong Kong).
The dispute erupted after China Beer ran a series of newspaper advertisements affirming its rights as registered owner of the Tsingtao trademark in Hong Kong.
Tsingtao Brewery filed a lawsuit on December 31, claiming it was the lawful owner of the trademark and China Beer held it on trust for the company only.
It is also seeking an injunction to prevent China Beer 'publishing injurious falsehood' relating to the company's business or goods.
The goodwill of the Tsingtao brand internationally was valued at 800 million yuan (now about HK$744.55 million) at the time of Tsingtao Brewery's 1993 listing.
The unprecedented dispute is a result of the planned economy which saw all commodities exported through professional import and export companies.