Recently, according to Reuters' IFR news, Sichuan Baicha Baidao Industrial Co., Ltd. (hereinafter referred to as "Tea Baidao") plans to be listed in Hong Kong in the first quarter of this year, raising up to 300 million US dollars.
In August 2023, Chabaidao submitted a listing application to the Hong Kong Stock Exchange, with CICC as the sole sponsor. Prior to this, Chabaidao received a new round of financing on June 9, 2023, led by Orchid Asia, followed by CICC, Tomato Capital and other investment institutions, with a financing amount of nearly 1 billion yuan.
Regarding the use of IPO funds, Chabaidao said in the prospectus that it will be mainly used to improve the overall operational capacity and strengthen the ** chain; developing digital capabilities and hiring professional talent; branding and promotional activities; Launching and promoting self-operated coffee brands and setting up coffee shops across China; Product development and innovation and general corporate use. It is understood that Chabaidao opened its first store in Chengdu, Sichuan Province in 2008. In June 2023, Chabaidao announced that it had obtained its first public financing, led by Orchid Asia and followed by a number of investment institutions, raising a total of 9700 million yuan.
Weibo.
According to the prospectus, in 2008, the first tea Baidao was born in Chengdu. At present, Tea Baidao has a total of 7,117 stores in 31 provinces and cities across the country, achieving full coverage of all provinces and cities in Chinese mainland.
In 2022, the retail sales of Chabaidao stores reached about 13.3 billion yuan, with a compound annual growth rate of 139 from 2020 to 20227%。
According to a report by Frost & Sullivan, Chabaidao is one of the fastest-growing among the top 10 new tea companies in China, ranking third in China's new tea shop market in terms of retail sales in 2022, with a market share of 66%。
From the performance point of view, the performance growth of Tea Baidao is relatively strong. According to the prospectus, from 2020 to 2022, the revenue of Tea Baidao will be 108 billion yuan, 364.4 billion yuan, 423.2 billion yuan, with a compound annual growth rate of 979%, with an income of about 12 in the first 3 months of 20234.6 billion yuan. The net profit for the same period was 23.8 billion yuan, 77.9 billion yuan, 96.5 billion yuan, with a compound annual growth rate of net profit of 1013%, with a net profit of 2 for the first three months of 20238.5 billion yuan.
Official website.
Like Mixue Bingcheng, Chabaidao's revenue is mainly from the sale of raw materials and equipment to franchisees. As of March 31, 2023, there are 7,111 franchised stores in Chabaidao, accounting for more than 99% of the total number of Chabaidao stores. During the same period, Chamodo had 6 directly managed stores.
Chabaidao's customers are mainly franchisees, and the sales revenue of goods and equipment in 2022 will be 40200 million yuan, accounting for 95% of revenue. From 2020 to the first three months of 2023, this revenue accounted for more than 93% of Chabaidao.
Different from mid-to-high-end tea brands such as Heytea and Nai Xue's tea, Chabaidao stores are mainly concentrated in new first-tier and second- and third-tier cities. Taking 2022 as an example, the proportion of stores in first-tier cities will be 108%, and the proportion of stores in new first-tier, second-tier, third-tier, fourth-tier and below cities is respectively. 2% and 197%。
Cha Baidao was co-founded by Wang Xiaokun and Liu Weihong, and Wang Xiaokun and Liu Weihong are spouses. According to the prospectus, Hengsheng Herui directly owns about 6768% equity, Wang Xiaokun directly owns about 1802% equity, Liu Weihong directly holds about 574% equity, and about 048% equity.
And Hengsheng Herui 8489% of the equity is directly owned by Chengdu Jinbaisen, which is wholly owned by Wang Xiaokun and Liu Weihong. Its employee incentive platform, Co-creation and Progress, is controlled by Wang Xiaokun as its sole general partner.
Based on this calculation, Wang Xiaokun and Liu Weihong and his wife hold a total of 81 tea Baidao69% equity.
On June 19, 2023, Chabaidao, Hengsheng Herui, Wang Xiaokun, CICC Tongfu (Quanzhou) Consumer Industry Venture Capital ** Partnership (Limited Partnership), Shuwei Chayun and Shuxin Zhiyuan entered into a capital increase agreement, and CICC Tongfu subscribed to the company's new registered capital of 15150,000 yuan, with a cash consideration of 20 million yuan.
According to the prospectus, TowerQuality holds a total of 456% of the shares, Zhengxin Gu Tanying holds 017% of the shares, Suzhou Yuexiang, Xinjin Shengwang and Yellow Tomato Limited Partnership respectively. 17%。
In May 2023, Xinjin Shengwang invested 50 million yuan in Tea Baidao, and finally won 37870,000 shares. Xinjin Shengwang is an early-stage company, focusing on China's catering and other consumer industries, with assets under management of about 1 billion yuan. Equity penetration shows that Xinjin Shengwang is served by Sichuan Heshun Shengwang Enterprise Management Center (Limited Partnership) as GP, with a total of 13 limited partners.
The full name of Xinjin Shengwang is Chengdu Xinjin Shengwang Jiaozi New Consumption Equity Investment ** Partnership (Limited Partnership), which is jointly initiated and established by grassroots Zhiben, Xinjin and Chengdu Jiaozi Industry, etc., focusing on supporting the field of green food and pan-food and beverage.
In June 2021, Nai Xue's tea was officially listed on the Hong Kong Stock Exchange, becoming the "first share" of new tea drinks.
However, the position of the "second share" of new tea drinks is still vacant, and now Gu Ming, Mixue Bingcheng, and Tea Baidao have all joined the competition.
According to the data released by the New Tea Beverage Committee of the China Chain Store & Franchise Association, the national new tea beverage market is expected to exceed 200 billion yuan in 2025. In the case of a high degree of product homogeneity, the first battle has become the most effective way for new tea drinks to attract consumers.
In addition, various brands are also accelerating the "horse race". According to data from Narrow Door Dining Eye, as of January 1, 2024, the number of Mixue Bingcheng stores is 26,350, the number of ancient tea is 8,927, and the number of tea Baidao is 7,883.
According to the 2023 New Tea Beverage Research Report, behind the rapid development of the new tea beverage chain is the benign development of chain franchising. Since 2022, directly operated brands have been opened to franchise one after another to expand the purchase convenience of the brand, effectively reach more users, and complete the channel layout in the third, fourth and fifth tier markets.
From the perspective of the industry, the listing will bring more room for development to the secondary market and its own valuation of the new tea beverage brand. February** Dynamic Incentive Program