Chinese beer makers, Tsingtao Brewery, bucked the downtrend on news that Anheuser-Busch had raised its stake in Harbin Brewery to 36 % from about 29 %, triggering a general offer for China's fourth largest brewer, Reuters said on June 1. Anheuser-Busch, which is battling for control of Harbin with arch-rival SABMiller, will offer HK$5.58 a share for the Chinese firm, one source said, a much higher price than many market watchers had expected.

"The offer price is unreasonably high," said Herbert Lau, a research director at Celestial Asia Securities, adding that Harbin is a regional brewer and not worth such a premium.

Tsingtao surged 5.37 % to HK$7.85 while Guangdong Brewery jumped 5.62 % to HK$1.88. Harbin shares were suspended ahead of the market open on Tuesday after closing at HK$5.10 on Monday.

01 June, 2004