Less than a year after its listing, the second-largest shareholder of Green Tea Group (6831.HK) intends to fully divest its stake.
On April 9, the casual Chinese restaurant operator announced that its board received a notification from its major shareholder, Partners Group Gourmet House Limited (Partners Gourmet). On April 8, Partners Gourmet announced three share disposal arrangements. The total number of shares involved in the placement and the sales amounts to 106 million shares, representing approximately 15.96% of the total issued shares (excluding treasury shares) as of the announcement date.
By the market close on April 9, Green Tea Group's (6831.HK) share price had fallen to HKD 7.92 per share, a decline of 10.71%.
Specifically, Partners Gourmet entered into a block trade agreement with J.P. Morgan Securities (Asia Pacific) Limited and GF Securities (Hong Kong) Brokerage Limited (the "Placement Agents"). The Placement Agents agreed to act as agents for Partners Gourmet on a best-efforts basis to procure placees to purchase a total of 60.044 million ordinary shares of the company. Partners Gourmet also agreed to sell 23.0484 million shares it holds to an investment fund. Furthermore, Partners Gourmet agreed to enter into a sale and purchase agreement with a strategic corporate buyer to sell a certain number of its shares, with the total proceeds from this sale not exceeding USD 30 million.
The announcement indicated that the placement is expected to be completed by April 13, 2026. The completion of the sales is conditional upon obtaining regulatory approvals. Upon completion of the placement and the sales, Partners Gourmet will no longer hold any shares and will cease to be a shareholder of the company.
The announcement also stated that the share sale by Partners Gourmet is not expected to have a material impact on the group's business operations and financial position. Shareholders and potential investors were advised to note that the placement and the sales are subject to the fulfillment of conditions precedent. Therefore, the transactions may or may not proceed.
Green Tea Group listed on the Hong Kong Stock Exchange in May 2025. According to its prospectus, Partners Gourmet is a strategic investor in Green Tea Group, controlled by Partners Group Holding AG, a global private markets investment management firm listed on the SIX Swiss Exchange (ticker: PGHN). As of December 31, 2024, it had approximately USD 152 billion in assets under management, investing in private equity, private debt, private real estate, and private infrastructure. Besides its strategic investment in Green Tea Group, Partners Group has also invested in China in a chain retailer offering one-stop solutions for baby products, a service provider for the design, manufacture, and installation of retail display fixtures, and a cross-border logistics service provider.
The prospectus shows that Green Tea Group was introduced to Partners Group through its private equity team's professional network in 2015. After evaluating the mainland China catering industry in 2015 and holding multiple meetings with Green Tea Group's directors over two years, Partners Gourmet decided to invest in the company.
In May 2017, as part of the strategic investment, Green Tea Group issued and allotted 2,688 and 445 Series A preferred shares to Time Sonic and Partners Gourmet, respectively, for considerations of USD 2,688 and USD 10.0367 million. On the same day, Time Sonic transferred its 2,688 Series A preferred shares to Partners Gourmet for a consideration of USD 60.5945 million. Following the completion of the strategic investment, Time Sonic and Partners Gourmet collectively held 7,312 ordinary shares and 3,133 Series A preferred shares, representing approximately 70.0% and 30.0% of Green Tea Group's equity, respectively. After subsequent restructuring and prior to the IPO, Partners Gourmet's shareholding in Green Tea Group was reduced to 28.2%.
According to Wind data, as of June 30, 2025, Partners Gourmet was the second-largest shareholder of Green Tea Group, with a shareholding percentage second only to the trust platform of the company's founder couple.
At the end of March, Green Tea Group released its first annual report since listing. For the full year 2025, the company achieved revenue of RMB 4.76 billion, a year-on-year increase of 24.1%. Adjusted net profit reached RMB 509 million, up 41% year-on-year, with an adjusted net profit margin of 10.7%, an improvement of 1.3 percentage points from the previous year. Profit for the year amounted to RMB 486 million, an increase of 38.9% compared to the prior year.
By the end of last year, Green Tea Group had 609 stores, having added 157 new stores throughout the year, a 31% increase year-on-year. The company's financial report noted that its restaurant penetration density in various cities remains relatively low compared to peers, indicating significant potential for future restaurant expansion. Regarding its overseas footprint, Green Tea opened 14 new international stores last year, including in Singapore, Thailand, and Malaysia. International revenue surged 16-fold year-on-year.
Looking ahead, the financial report mentioned that Green Tea Group will steadily advance its network expansion strategy, deepen penetration in existing markets, and explore new potential markets. It will also push forward with its internationalization layout, starting with Southeast Asian markets and expanding to surrounding overseas markets. Additionally, the group will actively seek and acquire high-quality potential targets, integrate industry resources, enrich its brand portfolio and consumption scenarios, and rapidly enhance its overall scale and market share.
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