Guoquan Food Expands Supply Chain Control

Guoquan Food (Shanghai) Company., Ltd. Class H (HK:2517) has released an update.

Guoquan Food (Shanghai) Co., Ltd. has announced the strategic acquisition of a 41% equity interest in Beihai Daixiaji Food Co., Ltd. for RMB 246 million, funded by internal resources and global offering proceeds. This move will upgrade the target from a participating company to an associate, enhancing control over the supply chain, ensuring high-quality product supply, and is expected to bolster the Group’s overall profitability. The acquisition is subject to regulatory approval and the terms have been deemed fair and consistent with the Group’s development strategy.

For further insights into HK:2517 stock, check out TipRanks’ Stock Analysis page.