China says is reviewing Coke-Huiyuan deal

China is reviewing Coca-Cola Co's (KO.N: Quote, Profile, Research) $2.5 billion bid to acquire China Huiyuan Juice Group (1886.HK: Quote, Profile, Research) under the anti-monopoly law, Commerce Minister Chen Deming said on Tuesday.

Coca-Cola said in December it had filed an application for anti-trust approval of its proposed purchase of China's top juice maker, and the case is being closely watched by analysts since it is the first to test how Beijing will apply the law.

If the deal is approved, it would clear the way for the largest acquisition of a Chinese firm by a foreign rival.

The case "will not be influenced by any (external) factors," Chen told reporters after a press conference during the annual parliamentary meeting.

"It will be reviewed fairly and reasonably," he said.

Coke agreed to pay HK$12.20 a share in cash, nearly three times its HK$4.14 price before the deal was announced last September. But the share price was trading at HK$10.28 on Tuesday, indicating investors are pricing in risk the deal will fall through.