What is in this article?:
- China firm moving closer to acquiring GNC
- GNC and Bright Foods: current partners
Bright Food Group Co., a state-owned Chinese food conglomerate, is close to finalizing a deal to purchase U.S. vitamin retailer GNC Holdings Inc. for up to $3 billion, Reuters reports.
Bright Food Group Co., a state-owned Chinese food conglomerate, is close to finalizing a deal to purchase U.S. vitamin retailer GNC Holdings Inc. Reuters reported Dec. 7 that Bright Food would purchase GNC for $2.5 billion to $3 billion in a move that would bring the well-known foreign brand to China’s growing middle class. The deal could be announced within the next several days, Reuters reported.
Pittsburgh-based GNC is currently owned by Ares Management and the Ontario Teachers' Pension Plan Board. As Reuters reported, the Chinese government has been scooping up foreign assets in recent months, but the purchase of a U.S. consumer company by a Chinese firm is less common. Bright Foods, which is backed by the Shanghai city government, operates mostly in the dairy market and faces stiff competition from other local players.