Snow King Muscat Beijing, on Thursday, February 27, 2025 on a cup at a mixyu store in China.
Bloomberg | Bloomberg | Getty images
China’s largest bubble t chain mix shares jumped up to 34% at the beginning of their market on Monday, after a heavy oversbusted initial public offering.
The shares were last seen at about 34% trading in 271 Hong Kong dollars ($ 34.85) episp, compared to IPO offer price compared to the price. HK $ 202.5 per shareAccording to exchange data, Stock opened trade at HK $ 267.
The company offered 17.06 million shares in its IPO, increasing the total HK $ 3.45 billion.
Mix is ​​known for its milk tea, fruit drinks, ice cream and coffee.
Shares of other Chinese bubble tea companies listed in Hong Kong also increased on Monday morning. Nayuki traded 7.1%, while Sichuan Bacha Baidao was 5.6% higher. Guming increased 2.2%.
The IPO has gained the support of five cornerstone investors, including M&G investment, hungshan growth, personality growth limited, HHLR funds and Long-Z funds of Mituan.
Mix shares were highly demanded, with Hong Kong over 5,200 times offered oversbuds. The international offering was more than 35 times.
The initial allocation of the IPO was 10% for Hong Kong offering, and 90% for international offering.
However, Mixue stated that Hong Kong’s offer was initially offered oversbuds of more than 100 times the total number of shares available, increasing its share of IPO from 10% to 50%, for international offering with other 50%.
The IPO was Bukerclers Bank of America Securities, Goldman Sachs and UBS.
Investor ‘Warming Up’ in Bubble Tea Market
“Investors are again heating up the bubble tea market,” Longdale Zafirin said, the principal and analyst of the Jafirin Group, saying that the Mix’s IPO is a performance of how “hungry” are investors.
While the mix is ​​currently located in a large extent in Southeast Asia, the bubble tea chain may come to expand in Europe and America to follow the fellow Chinese tea drink chain, Hathia, Zefirin said.
Mix’s biggest challenge is changing from Tier to Tier to and Tier Three Cities to Tier One Cities, where most of its contestants such as Nayuki and Hathia are outlets, Zefirin said.
While there is no official classification, Chinese cities are often classified into certain levels based on factors such as gross domestic product (GDP) and population. Shanghai, Beijing and Guangzhou are widely quoted as the first tier cities.
Douglas Kim, an IPO analyst at the Douglas Research Advisory, said, “Our base case valuation is a target of HKD 96 billion market cap or HKD 254, which is 26% higher than the initial IPO price.”
