Christine goes to Hong Kong to be listed as the first "cake" in the Mainland

Shanghai Kristin Foods Co., Ltd. (hereinafter referred to as "Kristin"), who is the first to sit in the domestic chain bakery market, intends to list in Hong Kong after the Spring Festival. Kristin will be the first company in the mainland baking industry.

According to foreign media reports, Christine was listed in Hong Kong and wanted to raise 50 million to 60 million U.S. dollars. Its issuance plan has passed the listing hearing on the Hong Kong Stock Exchange, and BNP Paribas will be responsible for underwriting the issue.

Kristin declined to disclose any listing information on the grounds that she entered a quiet period yesterday.

Kristin’s road to listing is also quite a twist. The original listing of Christine in 2008 was aborted due to the financial crisis. After three years of repeated listing plans, they all ended unsuccessfully. The above-mentioned sources disclosed to this reporter that Kristin’s listing was mainly for the purpose of motivating the internal and retaining outstanding talents, and the proceeds raised from the listing will be used for further expansion and industrial acquisitions.

In 1993, Christine opened the first store in Shanghai. At present, Kristin has more than 900 direct-operated stores across the country. According to insiders, the number of stores will exceed 1,000 in the first half of this year, and the number of its chain stores ranks among the forefront of the mainland bakery market.

Christine had several major capital trends in history. In July 2007, it signed a preliminary investment letter of intent with Marubeni Corporation of Japan. Marubeni invested RMB 220 million in the first phase and won a 16% stake in Asia Christine International Holdings Limited.

In January 2008, Yuhai Industrial, a foreign subsidiary of Yuyuan Garden, signed an equity transfer agreement with the shareholders of Asia Christine International Holdings Co., Ltd., and Yuhai Industrial Co., Ltd. financed the transfer of 5% of Asian Kristin with its own funds. The total equity transfer amounted to 110 million yuan. In 2009 Christine bought Hangzhou Danbi Art Cake for nearly RMB 100 million.

A person close to Kristin told reporters that at present, the gross profit rate of products in the industry reaches 55% to 60% when they reach the store, and after removing various expenses, the general net profit can reach 10% to 15%.

At present, the competition in the baking industry has entered the white-hot stage. In Shanghai alone, there are many such as Yuanzu, Koson, Kristin, 85C, Yamazaki, Paris Bell, Yizhi, Breadtalk, and Jingan Bakery. The brand catches and kills. The brands that are located in the country, such as Hollyland and Taste, are also Kristin’s strong opponents.

Prior to this, in 2009, the industry had reported news of Yuan Yu's attempt to go public, but so far there have been no movements and results. In 2010, the 85 degree C headquartered in Taiwan was successfully listed in Taiwan. In addition, there are no listed companies in the mainland baking industry.

"In this industry, the earlier who will be able to occupy more market share, after listing financing, Kristin will take advantage of the rapid expansion, and further widen the gap with its competitors, to ensure their leading position in the industry." A lawyer who specializes in listing companies told reporters.

According to those who are close to Christine, Christine will be listed on the Hong Kong Stock Exchange as soon as next month.