Coca-Cola could be forced to abandon its proposed $2.4bn (£1.7bn) takeover of Huiyuan Juice Group after China rejected the purchase on anti-monopoly grounds.
The Chinese Ministry of Commerce is reported to have signalled that Coca-Cola would have to relinquish the China Huiyuan Juice brand after the acquisition.
The deal would have been the largest-ever takeover of a Chinese company by a foreign rival and has been seen as a test of China’s new anti-trust regime.
Huiyuan Juice’s shares were suspended yesterday after they fell 22% following the reports that Coca-Cola may drop its bid.
