Wahaha includes/understands a hundred privately held companies attached to the Group Hangzhou Wahaha (杭州娃哈哈集团有限公司), or to his chairman, Zong Qinghou.

Wahaha is the largest drink producer in China. The company established its seat with Hangzhou in the province of the Zhejiang. " Wa ha ha (娃哈哈) " mean " child riant".

The company was in the beginning a business enterprise of the local government founded in 1987-1988. Most of the time since its creation, it was directed by Zong Qinghou (宗慶後).

Products and distribution

The market products under the mark “Wahaha” include/understand lacteous drinks (19% CA ), the Soda S, the Eau (43%), the (19%), Fruit juice (13%), and other bottled drinks. Wahaha is known also for its Congee S and the Yaourt S (7%).

Its principal factory, responsible for a third for its production, is within the zone of economic development and Technologique Development Zone of Xiasha with Hangzhou.

Wahaha is one of the 3 marks with a distribution without holes of geographic coverage. The company presses on 35 sales offices and a commercial team of 2.500 people which animates her extensive network in all China In 1991, the local government amalgamates this factory with the hurdy-gurdy " Hangzhou Canned Food Factory" (杭州罐头食品厂) which was overdrawn, increasing the expenses of structure. Groupe DANONE recovers the participation of Peregrine during its bankruptcy in 1998. At the end of 2006, the perimeter of co-operation was of 39 legal entities, and capital introduced it rises with USD131 million. The litigation is in hand.

Flow chart of control

The holding

The capital of “Hangzhou Wahaha Group Co. Ltd. ” is divided in manner according to:

• Zong Qinghou - 29.4%,

• Zhejiang Wahaha Industries Joint-stock Co. (" ZHI") (浙江娃哈哈实业股份有限公司) - 26.4% (representing the employees and management of the company)
• Government of the Shangcheng District - 46%.

The participation of Zong is held by Ever Maple Trading Ltd. (恒枫) through Hangzhou Hongsheng Beverage Co Ltd (杭州娃哈哈广盛投资公司). Ever Maple, whose administrator is Zong Fuli (only daughter of Zong), is a company domiciled in the Tax shelter of the British Virgin Islands. Among the factories assembled to feed the clandestine network of sale is Hangzhou Xiushan Shunfa Packaging Co. (杭州萧山顺发食品包装公司).

At the end of December 2006, Zong signs a compromise to yield a participation of 51% in these “external” companies at Danone for an amount of ¥4 billion, but it gives up in the 15 days which follow.

June 4th, Danone launches a lawsuit to the the United States against Ever Maple Trading and Hangzhou Hongsheng Beverage Co Ltd, as well as the woman and the girl of Zong. Danone seeks compensation for US$100 million.

References

Danone and Wahaha, synthesis on Melchior.fr

Random links:

Robert Guiscard | Saint-Etienne-Estréchoux | Imants Kalniņš | Laurent Bonventre | The Idealist