Mixue Plans HK$3.45 Billion IPO in Hong Kong

Mixue Group, China's largest bubble tea and drinks company, is aiming to raise HK$3.45 billion (approximately $443.66 million) through an initial public offering (IPO) in Hong Kong, with trading expected to commence on March 3. The company plans to sell 17.1 million shares at a fixed price of HK$202.5 each, having scaled back its initial goal of raising up to $1 billion due to a lack of urgent cash needs. With over 45,000 stores across China and 11 countries, Mixue is known for its affordable drinks, including fruit and tea beverages, ice cream, and coffee. The IPO proceeds will mainly be used to expand production facilities, enhance branding, and improve digital capabilities. In the first three quarters of last year, Mixue sold 7.1 billion drinks and reported a 45.2% profit surge year-on-year to 3.5 billion yuan (about $483 million). The company has secured five cornerstone investors, collectively investing $200 million in the IPO.