New Stock News | Muyuan Foods is rumored to be listed in Hong Kong as early as February, with a fundraising target of up to $1.5 billion.

On January 16th, Muyuan Foods (002714.SZ) has passed the hearing for its listing on the main board of the Hong Kong Stock Exchange, with Morgan Stanley, CITIC SEC, and Goldman Sachs as joint sponsors. According to reports, Muyuan Foods has started evaluating investor interest in its Hong Kong IPO and may debut on the Hong Kong Stock Exchange as early as February, with an IPO fundraising scale of up to $1.5 billion. Discussions are still ongoing, and the timing and scale of the transaction may change. The prospectus shows that Muyuan Foods is a leader in the pig farming industry and has a vertically integrated business model covering the entire pig industry chain from pig breeding, pig farming, feed production to meat processing. According to Frost & Sullivan statistics, as of 2021, the company is the world's largest pig farming enterprise based on pig production capacity and slaughter volume, with the highest pig slaughter volume in the world for four consecutive years. Based on pig slaughter volume, the company's global market share increased from 2.6% in 2021 to 5.6% in 2024, surpassing the combined market share of the second to fourth largest market participants by 2024. Based on slaughter volume, the company is the only one among the top ten pig meat food public companies in the world with an average annual net profit margin higher than 15.0% from 2014 to 2024. The company's EBITDA (measured under non-Chinese corporate accounting standards) compound annual growth rate reached 60.2% from 2014 to 2024, with an average EBITDA profit margin of 30.8%, outperforming other large listed companies in the Chinese pig farming industry. On the evening of January 15th, Muyuan Foods disclosed its performance forecast for the year 2025, expecting a net profit attributable to the parent company of 14.7 billion to 15.7 billion Yuan, a year-on-year decrease of 12.2% to 17.79%; while the non-net profit is expected to be 15.1 billion to 16.1 billion Yuan, a year-on-year decrease of 14.12% to 19.45%.