October 30, 2007
New Hope's subsidiary to expand business in China's Hangzhou
Shuangfeng Dairy Company, which is majority-owned by China's New Hope Group, will be expanding its business in the eastern Chinese city of Hangzhou through collaborating with Yanpai Dairy Products Company.
Hangzhou-based Shuangfeng Dairy Company is a joint-venture company established by New Hope Dairy Company and Sijiqing Dairy Company in 2002. In June 2007, New Hope increased its stake in Shuangfeng to 95.2 percent, after acquiring a 25.2-percent stake from Sijiqing.
In the year-to-date, Shuangfeng's revenue was RMB85.17 million, realizing a profit of RMB1.74 million.
Yanpai Dairy Products Company is an established household name in Hangzhou. Established in 1928, the company's products are also popular in other parts of Zhejiang province. Through this collaboration, Shuangfeng's will be able to raise its annual revenue to about RMB200 million.
RMB1=US$0.1338 (Oct 30)