Yum China confirms Hong Kong listing
Earlier reports say the company could raise around US$2 billion.
The parent company of KFC, Pizza Hut and Taco Bell in China has officially launched its public offering in Hong Kong, confirming earlier reports.
In a media release, Yum China said its shares will continue to be listed and traded on the U.S.’ New York stock exchange (NYSE). Upon the secondary listing in Hong Kong, the Hong Kong-listed shares will be fully fungible with the shares listed on the NYSE.
The company plans to use the proceeds from the offering to expand and deepen its restaurant network, to invest in digitalization and supply chain, food innovation and value proposition, and high-quality assets, as well as for working capital and general corporate purposes.
The offering initially comprises 1,676,500 new shares of common stock under the Hong Kong public offering and 40,234,200 new shares of common stock for the international offering, representing approximately 4% and 96% of the total number of shares, subject to reallocation and the over-allotment option.
The Hong Kong public offer price will be not more than HK$468.00 per share.
Aside from KFC, Pizza Hut and Taco Bell, Yum China also owns the Little Sheep, Huang Ji Huang, East Dawning and COFFii & JOY concepts. It has partnered with Lavazza to explore and develop the namesake coffee shop concept in China. The company has 9,954 restaurants in over 1,400 cities and towns as of end-June 2020.