Legend Holdings diversifies into liquor production

By Yang Xi
0 CommentsPrint E-mail China.org.cn, June 14, 2011
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Legend Holdings diversifies into liquor production 聯想控股要"喝"白酒

Legend Holdings Ltd., the parent of personal computer giant Lenovo Group Ltd., is planning to buy a 39 percent stake in a subsidiary of Luzhou Laojiao Company, a Sichuan-based liquor enterprise, the National Business Daily reports.

The purchase of Hunan Wuling Wine Co. would be Legend Holdings’ first acquisition in the liquor sector after the company announced plans to diversify into agricultural production.

Wuling Wine Co. was established in 1952 in central China’s Hunan Province. Luzhou Laojiao Company bought a 60 percent stake in the company in 2003 and increased its stake to 80 percent in 2007.

In 2009, Legend Holdings unveiled plans to go public in 2014.

"To create market value at an appropriate level and keep a more than 30 percent annual profit growth after Legend Holdings is listed, we need to restructure our businesses," said Liu Chuanzhi, chairman of Legend Holdings.

每日經濟新聞報道,聯想控股將買入瀘州老窖旗下的湖南武陵酒有限公司7843萬股,并成為該公司占股39%的大股東。

據了解,這是在聯想控股宣布進軍現代農業等領域之后,灑業出現的首個收購對象。

武陵酒始建于1952年湖南。2003年,瀘州老窖股份公司收購武陵酒業有限公司60%的股權,2007年,瀘州老窖增持武陵酒股權,持有其80%的股權。

2009年,聯想控股公布了其2014年整體上市的目標。

"為了達到規模相當的市值,同時要確保上市以后,公司的整體的利潤每年要有超過30%的持續增長,這就要求我們的業務組合作出調整。"聯想控股總裁柳傳志表示。

China's business press carried the story above on Tuesday.

 
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