Hunan Taizinai Group, a top dairy products maker in China, on Friday denied a Chinese media report that it was in talks to sell assets to the world's biggest food group Nestle AG.
Chinese media had reported that Nestle was sending a delegation to hold talks with Taizinai and would access the books of the Hunan-based dairy products maker.
I didn't hear anything about that, said Wen Dibo, the local government administrator managing the case of the financially trouble enterprise, when asked if Nestle was going to buy a stake in Taizinai, whose investors have included Goldman Sachs, Morgan Stanley and Actis Capital.
As the managing director of the company, there is no way I wouldn't know anything like this, he said by phone.
When asked if a delegation of foreign firms was paying a visit to assess the firm's production facilities, Wen said the company did arrange some visit with foreign firms including Nestle but solely for the purpose of raising its management standards.
A Nestle spokesman in China declined to comment. (Reporting by Fion Li and Donny Kwok; editing by Jacqueline Wong)