(Yicai Global) Dec. 28 -- Japan's biggest sugar producer Mitsui Sugar has become the second-largest shareholder in COFCO Sugar Liaoning, a major refined sugar company in northern China, for an undisclosed sum.

Yingkou North China Sugar Industry sold a 20 percent stake in COFCO Sugar Liaoning to Mitsui Sugar and 19 percent to COFCO Sugar, COFCO Tunhe said in a statement today. COFCO Sugar's stake cost CNY109.1 million (USD15.9 million).

The transaction can help improve COFCO Sugar Liaoning's business performance, the statement said, adding that it will cooperate with Mitsui Sugar in the future.

Headquartered in Yingkou, a port city in northeast Liaoning province, COFCO Sugar Liaoning is the country's major raw sugar processor and began production in August 2015. COFCO Sugar Liaoning refines imported raw sugar into white sugar, with a daily capacity of 3,000 tons and thus can produce 1 million tons of white sugar annually.

COFCO Tunhe owns 51 percent of the target firm, while Yingkou North China Sugar retains 10 percent.

COFCO Sugar Liaoning had net profit of USD35.8 million on operating income of CNY1.4 billion in the first half, and net profit of CNY41.9 million on operating income of CNY4.3 million last year, its earnings reports show.