Sanyuan skips second Sanlu auction

(chinadaily.com.cn)
Updated: 2009-04-08 11:50

The second auction of assets of Sanlu Group, the bankrupt Chinese dairy company at the center of last year's melamine scandal, was held on Tuesday in Hebei.

Three companies won the bidding to purchase three assets of Sanlu for a total price of 43.2 million yuan ($6.32 million).

During the first auction on March 4, Beijing-based Sanyuan Group successfully bid 616.5 million yuan (90 million US dollars) to buy Sanlu's core assets.

But Sanyuan issued a statement on Saturday saying, "The company has no intention of buying other bankrupt assets of the Sanlu Group at present."

Four assets were put up for auction on Tuesday. But no company bid for the last asset, 25 percent equity of Henan Huahuaniu Dairy, which will be auctioned later.

There are 169 trademarks related to Sanyuan and 12 patents were planned to be auctioned, but for technical reasons, the auction of this part stalled.