Jun. 18, 2012 (China Knowledge) – Aria Foods, the largest and oldest dairy enterprises in Europe as well as the world's largest organic dairy products supplier, inked an agreement with China Mengniu Dairy Co<2319
> and its holding company, China's state-owned COFCO Corp, last Friday to buy about 5.9% stake in Mengniu Dairy.
According to the agreement, the transaction value for the deal is HK$2.2 billion, and Aria Foods will become Mengniu's second largest shareholder.
With the cooperation, Mengniu can learn Aria Foods' development experience including pasture management, R&D, quality control and production technology, said Sun Yiping, chairman of Mengniu Dairy.
Earlier this month, Mengniu Dairy announced that it plans to invest RMB 3.5 billion to build 8 to 12 large-scale farms in China this year, sources reported.