Motivations, Significance, and Investment Considerations of Banu International's Re-submission of Hong Kong IPO Application

Based on the collected information, I will analyze the motivations behind Banu International’s re-submission of its Hong Kong IPO application and its significance for business development and investors.

Banu’s Hong Kong IPO is expected to raise over USD 100 million, which will be one of the larger fundraising projects in this tier [1]. As a premium hotpot brand, the large-scale capital injection will support its rapid expansion plan.

As of December 2025, Banu’s direct-operated store network has covered 46 cities nationwide, with the number of stores reaching 162, an increase of 95.2% compared to the end of 2021 [2]. The re-submission reflects the company’s urgent need for continuous financial support to maintain this high-speed expansion momentum.

The company has 5 comprehensive central kitchens integrating production and logistics, and 1 professional base material processing plant, covering 14 provinces and municipalities directly under the Central Government nationwide [2]. IPO financing will further strengthen supply chain construction and enhance standardized operation capabilities.

Banu positions itself as “China’s largest quality hotpot brand” and ranks first in the high-end segment with a 3.1% market share [1]. Listing will enhance brand awareness and strengthen its premium image.

The size of China’s hotpot seasoning market reached 26.9 billion yuan (about USD 3.8 billion) last year, and is expected to grow at an average annual rate of 9.1% over the next five years [3]. The overall concentration of the hotpot industry is low, with the combined share of the top five brands being only 8.1% [1], providing Banu with huge market expansion space.

The core of competition in high-end catering chains lies in standardization and quality control. Fundraising will support the company in:

• Improving central kitchen layout
• Optimizing supply chain management system
• Enhancing food quality control capabilities
• Strengthening digital operation system

Banu takes “productism” as its core positioning, focusing on signature products such as tripe. After listing, it will invest more resources in product R&D and quality upgrading to further consolidate its differentiated advantages in the high-end segment.

• Leader in high-end hotpot segment with a 3.1% market share [1]
• Rapid store network expansion, 95.2% growth in 3 years [2]
• Complete industrial chain layout from central kitchen to terminal stores

• China’s hotpot seasoning market is expected to grow at an average annual rate of 9.1% over the next five years [3]
• Low industry concentration with large integration space
• Consumption upgrading drives growth in high-end catering demand

• Increasing competition in the high-end hotpot market
• Need to continuously maintain product and service differentiation advantages
• Facing competitive pressure from leading brands like Haidilao

• Rapid expansion places higher demands on management capabilities
• Increased difficulty in implementing store standardization
• Greater challenges in quality control

• Although consumers’ frequency of dining out is increasing, the per-consumption amount is declining [1]
• Economic cyclical fluctuations may affect high-end catering consumption

• Investors optimistic about China’s consumption upgrading and long-term development of the catering industry
• Value investors who can bear certain expansion risks
• Growth investors focusing on leading enterprises in segmented markets

• Store expansion speed and single-store profitability
• Same-store growth rate and customer stickiness indicators
• Supply chain cost control efficiency
• Brand building and market awareness enhancement

Banu International’s re-submission of the Hong Kong IPO application reflects its urgency for capital and confidence in the capital market. From a strategic perspective, this is an important measure for the company to seize the opportunity of China’s catering consumption upgrading, accelerate national layout, and consolidate its position in the high-end market.

For investors, Banu represents a high-quality target in the high-end catering segment, but it is also necessary to fully recognize the expansion risks and market competition pressure of catering chain enterprises. Investors are advised to pay attention to the specific financial data and growth strategies disclosed in its prospectus, and make prudent investment decisions based on their own risk preferences.

[1] Yahoo Finance - “Submitting Hong Kong IPO Application: Banu Offers ‘Premium Hotpot’ to Investors” (https://hk.finance.yahoo.com/news/遞交港上市申請-巴奴為投資者奉上-高端火鍋-045407617.html)
[2] Sina Finance - “Banu Tripe Hotpot Re-submits IPO Application to HKEX” (https://finance.sina.com.cn/stock/estate/integration/2025-12-17/doc-inhcaksm2433725.shtml)
[3] Yahoo Finance - “Tianwei Food Adds Another Flavor to Hong Kong’s Hot New Stock Market” (https://hk.finance.yahoo.com/news/天味食品為香港火熱新股市場再添-味-034103867.html)