Muyuan Shares is likely to raise at least USD 1 billion
On March 11, Bloomberg reported that Muyuan Foods Co., Ltd., one of the world's largest pig breeders and pork producers in China, is considering a secondary listing in Hong Kong, which may raise at least USD 1 billion (CNY 7.2 billion).
Founded in 1992, Muyuan Foods Co., Ltd. went public in 2014. It has now formed a pork industry chain integrating feed processing, pig breeding, farming, and slaughtering and processing. It is reported that in 2024, Muyuan slaughtered 71.6 million pigs and had a slaughtering volume of 12.52 million pigs.
Muyuan Shares released its 2024 annual performance forecast, expecting the company to turn losses into profits. According to the forecast, the net profit in 2024 is expected to be between CNY 18 billion and CNY 19 billion, a year-on-year increase of 531.88% to 555.87% compared with the loss of CNY 4.168 billion in the same period last year.
The total cost of pig farming of Muyuan Shares continues to decline. In January this year, the total cost of pig farming was about CNY 13.1 per kg. Without considering the fluctuation of raw material prices, the company hopes to achieve a phased target of around CNY 12 per kg for the overall production cost in 2025.