As a pilot project of state-owned capital investment company, COFCO will introduce strategic investors.

On July 15, the SASASAC of the State Council announced that six central enterprises, such as COFCO, were selected as pilot enterprises for reform. In response, the relevant head of COFCO said that COFCO, as a pilot project of restructuring the state-owned capital investment company of the central enterprise, will introduce other industrial capital, social collective capital, private equity and other strategic investors into its subordinate enterprises in the future.

In an interview with reporters from China Economic Network, the person in charge of COFCO said that COFCO, as a pilot enterprise of state-owned capital investment company, takes national strategy as the main theme and capital as the link, accelerates industrial integration and upgrading around the main industry, improves the level of industry, establishes control and influence, constantly improves management level and core competitiveness, improves returns level, and realizes the preservation of state-owned assets. Value-added, develop and grow into a leading enterprise with control and influence in the industry.

The person in charge said that "COFCO will use mixed ownership as the main means of allocating resources, and introduce other industrial capital, social collective capital, private equity and other strategic investors into its subordinate enterprises."

The person in charge disclosed that COFCO will organize several business sectors according to different links of the industrial chain, different subdivisions of industries and different regions, aiming to establish a leading position in their respective fields. Form a number of professional management, independent listing business sector, mainly through capital means to allocate resources in the future.

According to interviews by China Economic Network, China Food Group has been actively exploring reforms in recent years, such as establishing a modern enterprise system, carrying out pilot board of directors, exploring the management of investment companies, reorganizing business listing, reorganizing Zhonggu, Hualiang, acquiring Nidra and Laibao agriculture, etc., in order to ensure the positive layout of national food security. After continuous business logic combing, optimization and adjustment, COFCO has basically formed an investment company-type organizational structure with grain, oil and food as the core business, and has the rudiment of state-owned capital investment company.

It is reported that in recent years, COFCO has carried out a lot of mergers and acquisitions and restructuring work, with strong capital operation capacity. From 2005 to 2013, COFCO completed nearly 50 M&A projects with an investment of 14.6 billion yuan. Compared with the year of merger and acquisition, the total assets of the merged enterprises increased by 4.28 times and the net profit increased by 33.6 times at the end of 2013.