Chagee explores a possible Hong Kong listing

Chagee is in early talks about a possible Hong Kong share sale that could raise several hundred million dollars, and the company already trades in the US after an April 2025 IPO.

Chagee Holdings Ltd. is considering a share sale in Hong Kong and is in early talks with banks about the possibility. The company already lists in the United States following an April 2025 IPO. Deliberations are ongoing and Chagee may decide not to proceed. Regulatory approval would be required before any offering. Key facts: - Chagee is in initial talks with banks about a possible Hong Kong share sale that may raise several hundred million dollars. - Deliberations are ongoing and the company may choose not to proceed; regulatory approval is still required. - The April 2025 IPO in the US made Chief Executive Officer Zhang Junjie a billionaire, and the company currently trades in the US. - As of the end of September, Chagee operated 7,338 teahouses, primarily in China. - Chagee's US shares have fallen more than 50% since the April 2025 listing, giving the company a market value of about $2.5 billion. - In the third quarter, revenue was about $450 million, down 9.4% year-on-year, and net income fell by more than 35%, with the company reporting pressure from low-price competition. Summary: A Hong Kong listing would come amid a busy period for the city’s market, which has attracted multiple mainland firms. Further deliberations with banks and regulatory approval are expected before any offering, and timing is undetermined at this time.