Yingtong Holdings (06883) will be taking subscriptions from June 18th to June 23rd, and is expected to be listed on June 26th.

Yingtong Holdings (06883) launched its initial public offering from June 18 to June 23, 2025, planning to sell 333 million shares, with 10% for Hong Kong sales and 90% for international sales, as well as an additional 15% for over-allotment options. The offer price per share is between HK$2.80 and HK$3.38, in lots of 1,000 shares, and trading on the Hong Kong Stock Exchange is expected to begin on June 26, 2025. Based on the retail sales in 2023, the company is the largest perfume group in China (including Hong Kong and Macau) after the brand owner perfume group. The brand owner perfume group mainly operates its own brands and is responsible for brand positioning and marketing strategies, research and development, manufacturing, and licensing of its brand rights. In contrast, the company primarily engages in sales and distribution of products purchased from third-party brand licensors and provides market deployment services for them. The company has a large and diversified brand portfolio, including perfumes, makeup, skincare, personal care products, eyewear, and home fragrances. The company has a leading position in the perfume sector in China (including Hong Kong and Macau) due to its long operating history and extensive knowledge and resources in distributing and marketing international perfume brands in these markets. The company offers a comprehensive sales and distribution network covering a wide range of perfume, skincare, makeup, personal care, eyewear, and home fragrance products in over 400 cities in China (including Hong Kong and Macau) through more than 100 offline points of sale directly operated by the company and over 8,000 points of sale operated by retail customers as of March 31, 2025. The company also sells products to offline distributors, who may resell them to other offline retailers. In addition to offline channels, the company also sells products online through well-known e-commerce and social media platforms in China (including Hong Kong and Macau). This extensive and omnichannel sales and distribution network helps the company continuously expand its consumer base in a dynamic market environment, maximize consumer value by providing a seamless and convenient shopping experience, and meet the diverse needs of consumers of different ages, spending power, and product preferences. The balanced omnichannel sales and distribution network also allows the company to flexibly adjust its sales approach to respond to potential changes affecting its business and industry. The company's reputation among world-leading brands enables it to partner with many brand licensors who intend to enter China (including Hong Kong and Macau) or expand their brand influence to the country. These long-term business relationships enable the company to build iconic brands and attractive products in its product portfolio. As of the cut-off date, the company distributes and markets products for a total of 72 external brands, including Herms, Van Cleef & Arpels, Chopard, Albion, and Laura Mercier, covering diverse pricing levels and functionalities to cater to the differentiated demands of consumers in mainland China, Hong Kong, and/or Macau. Exclusive or partial authorizations for certain products and channels of 61 out of the 72 external brands have been obtained from brand licensors in mainland China, Hong Kong, and/or Macau as of the cut-off date, allowing the company to use their intellectual property rights (including trademarks and logos) within specified scope. The company believes that these exclusive authorizations reflect the trust of brand licensors in the company and strengthen its competitive advantage over its peers. Assuming an offer price of HK$3.09 per share (the mid-point of the offer price range as stated in the prospectus), the company is expected to receive approximately HK$950 million in net proceeds from the global offering, after deducting underwriting fees, commissions, and estimated expenses for the global offering, assuming the over-allotment options are not exercised. Approximately 15.0% will be allocated to further develop the company's own brands and acquire or invest in external brands, about 55.0% for developing and expanding the company's direct selling channels, about 10.0% for accelerating digital transformation, about 10.0% for enhancing the group's visibility and reputation, and about 10.0% for working capital and general corporate purposes to support the company's business operations and growth.