Joyvio’s parent company Legend Holdings, which listed on the Hong Kong stock exchange in June 2015, has announced that its two agri-divisions Joyvio (Qingdao) Modern Business and Joyvio (Qingdao) Agricultural Investment are no longer subsidiaries of Legend Holdings.
Chinese fresh produce businesses Joyvio and Golden Wing Mau announced their merger to form China’s largest integrated fresh fruit business on 16 December, using their complementary services and knowledge to form a comprehensive fresh produce business.
Legend Holdings said that the two divisions had subscribed for 86.88m shares in Golden Wing Mau at the consideration of Joyvio’s 65 per cent equity interests in Qingdao Wallen Blueberry Co, 65 per cent in Joyvio (Qingdao) Fruits Co, 45 per cent in Joyvio (Qingdao) Food Co, and 100 per cent equity interests in Joyvio (Chengdu) Modern Agribusiness Co.
“Upon completion of the transaction, [Legend Holdings], through its two subsidiaries, holds approximately 43.25 per cent of the issued share capital of Golden Wing Mau and has appointed two directors to join the board of directors of Golden Wing Mau. The subject companies are no longer subsidiaries of [Legend Holdings],” the board of directors stated in a voluntary announcement released to shareholders on 16 December.
Legend Holdings has called the merger a “win-win”.
“The company’s fruit business is committed to providing consumers with safe, high-quality branded produce ‘from farm to table’. It has large-scale planting bases, exclusive species breeding rights, leading seed breeding centres, engineering technology centres, cold chain storage facilities and relevant marketing channels in the People’s Republic of China and overseas,” the board said.
“The [Legend Holdings] board is of the view that such reorganisation of the fruit business of the agricultural sector is beneficial to the company and is in the interests of the company and its shareholders as a whole.”
Legend Holdings, also the parent company of computer technology company Lenovo, established Joyvio in 2010 with a focus on blueberries and kiwifruit, and is now China’s largest kiwifruit grower.