Danone to raise stake in China Mengniu Dairy for $665 million
date:Feb 13, 2014
ursue its expansion in Asia in a more serene way, securing its supplies in terms of volumes as well as quality.

Mengniu shares rose as much as 9.5 percent to an all-time high of HK$40.35, although the stock gave up much of those gains as traders locked in profit from the past year's rise of more than 65 percent.

PREMIUM PRICE

Danone's willingness to pay a premium for the stake suggests that they are bullish over the long-term prospects of China's dairy industry, said Alex Wong, a director at
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