IN BRIEF (Page 13)

Bid for Hsu Fu Chi approved

Singapore-listed Chinese candy maker Hsu Fu Chi International Ltd said on Wednesday that the Ministry of Commerce had approved Nestle SA's plan to purchase a 60 percent stake in the company, easing concerns that Beijing will take a hard line toward foreign companies buying well-known local brands.

In July, Nestle, the largest food company in the world, offered to pay $1.7 billion for a 60 percent stake in Hsu Fu Chi as part of its plan to gain a bigger presence in the Chinese market.

Shanghai aims to aid high-tech

To foster the expansion of new high-tech companies, Shanghai will raise the maximum compensation rate it offers on loans backed by guarantee companies to 60 percent starting next year, from 40 percent now.

The government compensation program covers defaults by borrowers.

The move is one of several steps aimed at improving financing for small and medium-sized enterprises in the technology sector.

China Daily - Reuters

(China Daily 12/08/2011 page13)