China rejected a $2.4bn Coca-Cola deal on March 18th that would have been the country's biggest foreign take over.
China’s ministry of commerce ruled against Coke's proposed acquisition of Huiyuan Juice, the country's leading juice maker, on competition grounds, saying the move would hurt smaller domestic companies and limit consumer choice.
It has been said that the regulator had demanded Coke relinquish the Huiyuan brand after the acquisition, a request that was refused. Muhtar Kent, Coke president, said the company was “disappointed” but would respect the decision. He said that Coke would focus on boosting its existing brands in what is its fastest-growing global market.
The Coke filing was the first big test case under China's revamped antitrust laws, which were beefed up last August.
(Mar 29th 2009)