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Danone & Wahaha a bitter sweet partnership When the JV was established in 1996, Wahaha had the controlling shareholding of 49%, while Danone and Peregrine

Danone & Wahaha a bitter sweet partnership

When the JV was established in 1996, Wahaha had the controlling shareholding of 49%, while Danone and Peregrine had 25.5% each through a Singapore-registered investment company Jinjia. However, Danone became the largest shareholder (51%) of the JV in 1998, after it bought out Peregrine's shareholdering in Jinjia. Theoretically, 51% ownership guarantees the control of a firm, as it enables the largest shareholder to control the board of directors. Did Danone manage to control the JV through its majority shareholding? Why or why not?

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