The complex tie-up between China's Tingyi and PepsiCo Inc got a positive response from investors in the Chinese noodle and beverage maker, sending the company's shares up as much as 13 percent on Monday.The deal, detailed on Friday, allows Tingyi and PepsiCo to jointly tap into China's beverage market through an existing joint venture with Japan's Asahi Group Holdings Ltd .The fact PepsiCo gets a 5 percent indirect stake worth $55 million in the joint venture in exchange for a bottling operation with a book value of $600 million raised questions though about what PepsiCo may be getting out of the deal.But the agreement is clearly positive for PepsiCo, bankers familiar with the transaction and analysts said. It allows the U.S. company, which has been losing money in China, to access Tingyi's vast distribution network.
PepsiCo, Inc. (PepsiCo) is a global food, snack and beverage company. Shares of PEP remained unchanged at $61.99. In the past year, the shares have traded as low as $59.25 and as high as $71.89. On average, 10784600 shares of PEP exchange hands on a given day and today's volume is recorded at 0.
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