China: Tsingtao Brewery looking to sell all the assets of its liquidated Chongqing branch

Tsingtao Brewery plans to sell all the assets of its Chongqing branch for 19.97 million yuan through the Chongqing United Assets and Equity Exchange, National Business Daily reported on May, 10, citing an unnamed source.

The target assets include buildings on an area covering 24,160.46 square meters, land use rights on 95,115.45 square meters of land, and beer manufacturing equipment.

Tstingtao Brewery’s Chongqing branch was established in 2000. It had fixed assets of 100 million yuan and annual production capacity of 50,000 tons of beer.

Its major products were Tsingtao New 100, Tsingtao Shanshui Beer, and Tsingtao Laoshan Beer.

An insider from CQUAE said the Chongqing branch has yet to receive a government subsidy of three million yuan which was due in 2010. The buyer of the target assets may receive the subsidy instead.

The Chongqing branch of Tsingtao Brewery was liquidated last July due to poor operating performances for an extended period of time.

A staff from Tsingtao Brewery said the company’s plants in Chengdu and Luzhou will continue to supply Tsingtao beer to the Chongqing market.

11 May, 2011