Ontario grape grower selling $7 million stake to Chinese firm

ST. CATHARINES, Ont. (CP) - The Chinese wine maker Tonghua Grape Wine Co. Ltd. has announced plans to pay $7 million for a 75 per cent stake in King's Court Estate Winery in St. Catharines, Ont., according to filing with the Shanghai Stock Exchange. The family owned winery, established in 1990 by Joe Zimmermann, is known for its ice wines produced from grapes grown on 30 hectares.

It exports its wines to several countries, including China, Japan and Korea.

Zimmermann was in China and was unavailable for comment, King's Court assistant winemaker Roland Zimmermann said from his home on Wednesday.

Tonghua Grape Wine is based in Jilin in northeastern China and was one of the first in the country to produce ice wines.

The aim of the purchase is designed to enhance the company competitive edge by producing high-end ice wines, Tonghua said.

© The Canadian Press, 2007