Miniso to Acquire 29.4% Equity of Yonghui Supermarket for $900 Million

TapTechNews September 23rd news, tonight, Miniso announced in the Hong Kong Stock Exchange that it has acquired 29.4% equity of Yonghui Supermarket with about 6.3 billion Chinese yuan ($900 million), including 21.1% held by the Dairy Farm and 8.3% held by JD.com. After the transaction is completed, Miniso will become the largest shareholder of Yonghui Supermarket.

The announcement released by Miniso shows that this transaction will be paid in cash and financed by the internal financial resources of the Miniso Group and external financing. The price of the 21.1% equity sold by the Dairy Farm is about 4.5 billion Chinese yuan ($642 million), the price of the 4% equity held by JD World Trade is about 860 million Chinese yuan ($123 million), and the price of the 4.3% equity held by Suqian Hanbang is about 910 million Chinese yuan ($130 million). JD World Trade and Suqian Hanbang are concerted actors.

The announcement issued by Yonghui Supermarket shows that after the completion of this transaction, the company's largest shareholder will change to Juncai International, holding a total of 29.4% of the company's shares. Juncai International and its actual controller Miniso will work with Yonghui Supermarket to transform to a quality retail model.

According to the Caixin News Agency, in response to Miniso's 6.3 billion yuan ($900 million) investment in Yonghui Supermarket today and becoming the largest shareholder, JD.com said that it is optimistic about the future coordinated development of Yonghui Supermarket and Miniso.

TapTechNews noted that the 2024 semi-annual report released by Yonghui Supermarket previously stated that in the first half of this year, Yonghui Supermarket achieved operating income of about 37.779 billion Chinese yuan ($5.4 billion), a year-on-year decrease of 10.11%; and the net profit attributable to shareholders of the listed company was about 275 million Chinese yuan ($39 million), a year-on-year decrease of 26.34%.