Sewco enters Chinas beverage market

Sewco enters China's beverage market

Toymaker Sewco International Holdings has agreed to acquire majority control of China's Tycoon Beverage Group for HK$390m (US$50m).

Sewco said today (20 July) that it will acquire 82.3% of Tycoon Beverage, which owns Tinjian Co, a producer and marketer of branded fruit tea flavoured drinks in China.

Sewco will acquire the stake from Charter Metro, an investment holding company based in the British Virgin Islands and established in October 2009, according to the terms of the deal.

Of the HK$390m price tag, HK300m will be paid in cash upon completion of the deal, while HK$90m will be paid via the issue of notes to Charter Metro.