Snack and beverage retailer Busy Ming Group aims to raise up to HK$3.3 billion ($428 million) in a Hong Kong initial public offering that will fund supply chain and product development.
The proceeds will also be used to upgrade its store network and support franchisees, invest in brand building, technology and selective acquisitions.
The Hunan-based company, which operates the “Busy for You” and “Super Ming” chains, is offering 14.1 million H shares between HK$229.60 and HK$236.60 each, a regulatory filing showed. At the top end of the range, Busy Ming would be valued at about HK$50.7 billion ($6.5 billion).
There is also an overallotment option of up to 15% more shares.
Cornerstone investors include Tencent, Temasek, BlackRock and FIL Investment, according to its prospectus.
The company opened its first store in China in 2017 and now has just over 19,500 stores across 28 provinces. It says it is the country’s largest chain retailer for snack and beverage products by 2024 gross merchandise value, citing research from consultancy Frost & Sullivan.
Revenue surged 75% to 46.4 billion yuan ($6.7 billion) in the nine months ended September from the same period a year ago. Busy Ming estimated 2025 profit at not less than 2.3 billion yuan.
Last year, Hong Kong had its strongest IPO year since 2021, with companies raising $37.2 billion from 115 new listings, LSEG data showed. Analysts expect an even bigger year this year with IPO funds raised predicted to reach HK$350 billion ($45 billion).
Busy Ming is expected to debut on or about January 28 following price determination on January 26.
Goldman Sachs and Huatai International are acting as joint sponsors of the offering.
Reuters
