Danone to raise stake in China Mengniu Dairy for $665 million
date:Feb 13, 2014
e practices after a probe into price-fixing. It also recalled infant formula products in Asia due to an unfounded health scare stemming from New Zealand-based supplier Fonterra Co-operative Group.

Such problems have eroded Danone's image with Chinese consumers, analysts have said, and closer ties with state-owned Mengniu could potentially help smooth relations with Chinese authorities and consumers.

Analyst Francis Pretre at brokerage CM-CIC Securities said the new deal would allow Danone to p
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