Country's largest winery buying stake in Australian winemaker

China's largest wine producer, Yantai Changyu Pioneer Wine Co, is purchasing 80 percent of Kilikanoon Estate Pty Ltd of Adelaide, Australia, at A$20.65 million ($16.45 million), a decision that will further enhance the Chinese winery's global portfolio and help meet Chinese consumers' growing demand for quality wine.

The financial details of the deal have not been revealed. Kilikanoon's chief wine operator Kevin Mitchell and managing director Warrick Duthy will retain their shares and stay on in their positions.

This is Changyu's fifth overseas acquisition, after the Yantai-based wine producer expanded its global reach to wineries in France, Spain and Chile, according to Zhou Hongjiang, chairman of the company.