Inside China's $2 Billion Sibling Showdown Over a Beverage Empire Fortune
Warning! GuruFocus has detected 11 Warning Signs with NNFSF.
Known in China as the Princess of Wahaha, Kelly took the reins of the private company after her father's death in February 2023, following a series of internal shareholder tensions. Now, she faces not only operational headwinds in a slowing Chinese economy but also a legal battle that could challenge the group's succession narrative. The plaintiffs allege that Qinghou instructed subordinates to set up offshore trusts and convert yuan to U.S. dollars, but they say millions have gone missingand they want Kelly held accountable for honoring those instructions, plus interest. Her legal team disputes the story, arguing the orders were never relayed and the evidence falls short.
Founded in 1987, Wahaha built its empire on nutrition drinks before expanding into bottled water, juices, and teas across China. But the competition has intensified, with rivals like Nongfu Spring (NNFSF) and rising cafe chains crowding the market. While Kelly continues to steer the company through a shifting consumer landscape, this legal challenge adds another layer of complexityraising questions about succession, trust governance, and offshore wealth protection in China's evolving private sector.
This article first appeared on GuruFocus.
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