Aussie gov't approves Chinese takeover of pharmaceutical company Vitaco

Updated 2016-10-24 12:59:33 Xinhua

Australia's Foreign Investment Review Board (FIRB) on Monday approved a Chinese takeover of pharmaceutical giant Vitaco in a deal set to be worth more than 235 million U.S dollars.

Following the announcement of the planned sale in August this year, the Chinese bid lodged by Shanghai Pharma and Primavera Capital was approved by the government on Monday following approval from Chinese regulators earlier this year.

The last piece of the puzzle for the Chinese partnership is approval from Vitaco's shareholders who are due to vote on the takeover before the end of the year.

It's expected the deal, which will result in Shanghai Pharma and Primavera Capital paying 2.25 Australian dollars (1.71 U.S dollars) per share, will be approved by the shareholders. The current share price of the company is 2.07 U.S dollars (1.57 U.S dollars).

Vitaco is best known for the production of its Nutra-Life vitamin brand, as well as its Aussie Bodies sports nutrition range.

The FIRB approval comes following tough times for Chinese investment in Australia. The federal Turnbull government, which has previously stated that Australia was "open for business", had blocked Chinese-backed bids for Australia's largest pastoral landholding, S. Kidman & Co., as well as the nation's largest electricity distributor, Ausgrid.

S. Kidman & Co. bid was blocked by Treasurer Scott Morrison on "national interest grounds", while the Ausgrid bid was rejected due to national security concerns.

Also in the News

Nicole Kidman Recalls Oscar Glory: Loneliest Time
Showbiz2016/06/16 13:58June 23 2018 10:26:32

Nicole Kidman Recalls Oscar Glory: Loneliest Time

Attending Shanghai International Film Festival, Nicole Kidman talks about her role in "Grace of Monaco".

Labor Day Travel Peak Starts
Also in the News2014/05/01 12:16June 23 2018 10:26:32

Labor Day Travel Peak Starts

Johnny Depp Delivers a Speech 'Evolve the Future' in 'Transcendence'
Also in the News2014/04/18 13:18June 23 2018 10:26:32

Johnny Depp Delivers a Speech 'Evolve the Future' in 'Transcendence'

Hollywood star Johnny Depp's speech in the upcoming new film "Transcendence" has been disclosed on Friday, April 11th.

Most Watched

China World Business Sports Showbiz Audio
C4 My Chinese Life The Sound Stage China Revealed Showbiz Video Travel Video
China World Fun Travel Entertainment Sports
Beijing Shanghai Guangzhou
Live Music Opera & Classical Movies Traditional Shows Exhibitions
Learn Chinese:
Chinese Studio Living Chinese Everyday Chinese Just For Fun Chinese Culture Buzzwords