Latest news with #IFBH
Yahoo
30-06-2025
- Business
- Yahoo
A coconut-water maker's stock soared at its IPO, defying China's consumer spending slump
Thai coconut-maker IFBH's stock surged 67% on its Hong Kong debut. IFBH's IF coconut water has one-third of the market share in China. Coconut water is a fast-growing market in China as consumers are increasingly health-conscious. Stock of a China-focused coconut-water beverage surged on its first day of trade, showing that niche consumer brands can still capture attention and money in a sluggish Chinese economy. On Monday, shares of Thai coconut water maker IFBH leaped as much as 67% on their debut on the Hong Kong Stock Exchange. IFBH's initial public offering was priced at 27.80 Hong Kong dollars a share, or $3.54. The shares surged as much as HK$46.50 minutes shortly the opening bell and closed at HK$39.50. Investor enthusiasm for IFBH was clear even before trading began. The offering was 2,682 times oversubscribed. Cornerstone investors included UBS Asset Management and ICBC Wealth Management. The strong debut comes despite a broader slump in Chinese consumer spending that has hit luxury sales in the country. However, some sectors, like sports and lifestyle, are still raking in the big bucks. IFBH, which makes the IF range of coconut water, has been the top coconut water brand in China for five straight years, according to research firm Baiguan in a post earlier this month. In 2023, IF held a one-third share of the market. Once seen as a niche hydration product for athletes, coconut water is now a fast-growing category. It's being served in mainstream dining venues like restaurants and cafés, Jason Yu, the managing director for Greater China at the UK-based consumer research group Kantar Worldpanel, told Business Insider. "Coconut water is seen to have multiple benefits that are good for consumers and for sports without being sugary," Yu said. "Like yogurt drinks, it's seen as a good alternative to soda and other sweetened beverages when dining. Coconut water also pairs very well with hot and spicy food," he added. Baiguan analyst Nina Chen credited IFBH's success in part to the popularity of Luckin Coffee's coconut latte and brand collaborations, including tie-ups with Labubu-maker Pop Mart and celebrity endorsements. "IF exploited a unique market gap: high Chinese demand for a product (coconut water) the country couldn't easily produce," wrote Chen. Driven by rising demand in China, IFBH revenue hit $157.6 million in 2024, up 80% from the year before, according to its IPO prospectus. The company plans to use the proceeds to invest in product development, marketing, and expansion into new markets, including the Americas and Australia. Despite the intense competition in the sector, Yu said the market for coconut water is likely to continue growing as it's still an emerging market. "Chinese consumers today are more than ever willing to spend on their health and well-being," he said. Read the original article on Business Insider
Business Insider
30-06-2025
- Business
- Business Insider
A coconut-water maker's stock soared at its IPO, defying China's consumer spending slump
Stock of a China -focused coconut-water beverage surged on its first day of trade, showing that niche consumer brands can still capture attention and money in a sluggish Chinese economy. On Monday, shares of Thai coconut water maker IFBH leaped as much as 67% on their debut on the Hong Kong Stock Exchange. IFBH's initial public offering was priced at 27.80 Hong Kong dollars a share, or $3.54. The shares surged as much as HK$46.50 minutes shortly the opening bell and closed at HK$39.50. Investor enthusiasm for IFBH was clear even before trading began. The offering was 2,682 times oversubscribed. Cornerstone investors included UBS Asset Management and ICBC Wealth Management. The strong debut comes despite a broader slump in Chinese consumer spending that has hit luxury sales in the country. However, some sectors, like sports and lifestyle, are still raking in the big bucks. IFBH, which makes the IF range of coconut water, has been the top coconut water brand in China for five straight years, according to research firm Baiguan in a post earlier this month. In 2023, IF held a one-third share of the market. Once seen as a niche hydration product for athletes, coconut water is now a fast-growing category. It's being served in mainstream dining venues like restaurants and cafés, Jason Yu, the managing director for Greater China at the UK-based consumer research group Kantar Worldpanel, told Business Insider. "Coconut water is seen to have multiple benefits that are good for consumers and for sports without being sugary," Yu said. "Like yogurt drinks, it's seen as a good alternative to soda and other sweetened beverages when dining. Coconut water also pairs very well with hot and spicy food," he added. Baiguan analyst Nina Chen credited IFBH's success in part to the popularity of Luckin Coffee's coconut latte and brand collaborations, including tie-ups with Labubu-maker Pop Mart and celebrity endorsements. "IF exploited a unique market gap: high Chinese demand for a product (coconut water) the country couldn't easily produce," wrote Chen. Driven by rising demand in China, IFBH revenue hit $157.6 million in 2024, up 80% from the year before, according to its IPO prospectus. The company plans to use the proceeds to invest in product development, marketing, and expansion into new markets, including the Americas and Australia. Despite the intense competition in the sector, Yu said the market for coconut water is likely to continue growing as it's still an emerging market. "Chinese consumers today are more than ever willing to spend on their health and well-being," he said.
Forbes
30-06-2025
- Business
- Forbes
Thailand's Coconut Water Giant IFBH Soars In Hong Kong IPO Debut
IFBH, the Thai company behind the IF-branded bottled coconut water, started trading in Hong Kong on June 30, 2025. Shanshan Kao/Forbes Asia IFBH, the Thai company behind China's largest coconut water brand IF, saw its shares jump 42% in its Hong Kong stock market debut Monday, boasting a market cap of $1.3 billion. IFBH ended its first day trading at HK$39.5, up from its HK$27.8 per share set for the initial public offering. The company, a subsidiary of Bangkok-based General Beverage, raised HK$1.16 billion ($145 million) from the sale of 41.7 million shares at the top end of a marketed range of HK$25.3 to HK$27.8. The stock surge gave Pongsakorn Pongsak, IFBH's founder, CEO and largest shareholder, a net worth of $807 million, propelling the 45-year-old into the ranks of Thailand's wealthiest people. Forbes estimates Pongsakorn's wealth based on his 60% stake in IFBH, which he holds directly and through General Beverage. Pongsakorn holds a 91% stake in General Beverage, which in turn owns 60% in IFBH. IFBH's IPO has attracted a roster of big-name cornerstone investors, including Black Dragon, an investment fund backed by Soopakij Chearavanont, the chairman of Thai agriculture-to-telecoms conglomerate Charoen Pokphand (CP) Group and the eldest son of billionaire Dhanin Chearavanont; HongShan's HCEP Management; Jain Global, the U.S. hedge fund founded by former Millennium co-chief investment officer Bobby Jain; U.S. trading giant Jane Street; and UBS Asset Management. The company's pre-IPO investors include Singaporean sovereign wealth fund Temasek. IFBH said it will use the IPO proceeds to bolster fulfillment capabilities, strengthen its presence in mainland China and expand operations in Australia, the Americas and Southeast Asia. 'Over the years, we have grown into one of the leading ready-to-drink natural coconut water brands in Asia,' Pongsakorn said at the listing ceremony in Hong Kong on Monday. 'Looking ahead, we are excited to continue investing in innovation, strengthening our sourcing capabilities and growing our brand sustainability.' Pongsakorn Pongsak (right), founder and CEO of IFBH, attends the company's listing ceremony at Hong Kong's stock exchange on June 30, 2025. Shanshan Kao/Forbes Asia IFBH is best known for its IF-branded bottled coconut water—a clear and slightly sweet beverage derived from coconuts that some people believe is good for health. The company posted $362 million in retail sales value in China last year, making it the country's largest coconut water producer, according to its prospectus, which cited China Insights Industry Consultancy. With a global retail sales value of $374 million in 2024, IFBH said it's also the world's second-largest coconut water company after New York-based Vita Coco. The company generated more than 92% of its revenue from mainland China in 2024, with 4.6% from Hong Kong and the rest from places including Australia, Cambodia, Canada, Kuwait, Malaysia, Singapore, Taiwan, Thailand and the U.S. Its sales surged 80% year-on-year to $157.6 million in 2024, while net profit nearly doubled to $33.3 million during the same period. IFBH attributed the growth to the increased sales volume in mainland China. Despite its business scale, IFBH has a lean team of 46 staff, thanks to its 'asset-light' business model. IFBH outsources its manufacturing and distribution to parent General Beverage and other third parties, freeing the company to focus on marketing and R&D. Pongsakorn founded General Beverage in 2011 and launched the IF-branded coconut water two years later. He started selling the beverage in Hong Kong in 2015, followed by mainland China in 2017. Pongsakorn has continued to innovate over the years, launching plant-based snacks such as coconut crispy rolls, as well as products that cater to local preferences, like coconut black tea in China. In late 2022, he formed IFBH to run General Beverage's operations outside of Thailand. IFBH's listing comes amid Hong Kong's IPO market revival. The city is on track to reclaim its crown as the world's top listing venue in 2025 following a five-year dry spell, driven by renewed investor interest for Chinese tech stocks following the rise of AI startup DeepSeek and U.S.-China tensions that are prompting more Chinese companies to pivot toward Hong Kong listings. Since the beginning of 2025 through June 26, there were 41 listings in Hong Kong raising a total of more than HK$104 billion, according to data from the Hong Kong Exchanges and Clearing. Among the companies going public in the city includes gold jeweler Zhou Liu Fu Jewellery, whose shares soared nearly 70% over the first two trading days on Friday, catapulting its chairman into billionaire status. MORE FROM FORBES Forbes Chairman Of Chinese Gold Jeweler Zhou Liu Fu Becomes A Billionaire After Stock Surge By Zinnia Lee Forbes Billionaire Brothers' Chinese Bubble Tea Giant Mixue Surges In Hong Kong Debut By Zinnia Lee Forbes Ex-Baidu AI Scientist Becomes A Billionaire After Shares Of His Self-Driving Tech Startup Jump 16% By Zinnia Lee
South China Morning Post
30-06-2025
- Business
- South China Morning Post
Can Singapore's bourse regain its allure, as more companies flock to Hong Kong for IPOs?
Hong Kong's vast lead over Singapore as a listing venue appears unassailable, with even the Southeast Asian city's home-grown companies heading north to raise funds, but the city state remains determined to improve its allure, according to bankers and analysts. IFBH, a Singapore-incorporated Thai firm that is the world's second-largest bottler of coconut water, started trading on the Hong Kong stock exchange on Monday after completing a HK$1.16 billion (US$147 million) initial public offering (IPO) . The bottler of the If brand had planned to list in Singapore but changed course and applied in Hong Kong in April, citing strong connectivity with mainland China, its most important market. IFBH's debut in the city followed that of Mirxes, a Singaporean biotechnology company that raised HK$1.09 billion and saw its shares surge 28.8 per cent on the first day of trading on May 23. The Singapore Exchange (SGX) recorded just one IPO this year, raising US$4.5 million, while the Hong Kong stock exchange raised US$13.2 billion through 38 deals, according to data from the London Stock Exchange Group. Last year, SGX had four deals totalling US$34.2 million, compared with Hong Kong's US$11.3 billion from 67 deals. IFBH and Mirxes underline the valuation upside and deep liquidity in Hong Kong's stock market, which has a market capitalisation of US$6.5 trillion – up 37 per cent from a low point last September – and a daily trading volume of around US$30 billion. Meanwhile, Singapore's stock market is worth about US$488 billion and has a daily trading volume of about US$1.1 billion. Despite US-China trade tensions driving some Chinese firms to expand in Southeast Asia and consider listings in Singapore, analysts said the impact on Hong Kong's appeal as a listing venue remained minimal.
Business Times
30-06-2025
- Business
- Business Times
Thai coconut water maker IFBH's shares jump in Hong Kong debut
[HONG KONG] Shares of Thai coconut-water maker IFBH rose as much as 67 per cent on their first day of trading in Hong Kong following a HK$1.16 billion (S$188 million) initial public offering (IPO), the latest sign of renewed vigour in the city's equity capital market. The stock jumped to as high as HK$46.50 in early morning trading after it was priced at HK$27.80 per share, the high end of its marketed range. The deal attracted robust demand as it was 2,682 times oversubscribed, which was bolstered earlier by high margin financing from retail investors for the shares. Its cornerstone investors included UBS Asset Management and Black Dragon. The IPO will help the company's ambition to expand its business in China, where it says it already boasts a leading market share. It also adds to a growing list of companies listing in Hong Kong, whose IPO market has shaken off years of sluggishness to stage a strong comeback as investors move to diversify. 'The ready-to-drink soft drink market in Greater China holds growth potential,' according to Tina Banerjee, an independent analyst who publishes on Smartkarma. IFBH's 'market leadership position provides it ample room to keep costs under control'. IFBH's revenue rose 80 per cent in 2024, primarily due to a sales increase in mainland China, according to its prospectus. The country accounts for more than 92 per cent of its total sales, it said. The company's 2024 sales growth outpaced that of some of its main competitors, including Vita Coco and Hainan Yedao, according Bloomberg-compiled data. Its rapid growth can be attributed its 'light asset' model that calls for outsourcing production and packing to others, according to Banerjee. Part of the IPO proceeds will be used to support its business in China, where the ready-to-drink soft beverage market is expected to expand at a compounded annual growth rate of 7.1 per cent by 2029, according to the company. The company also plans to expand to other regions, including Australia, the Americas and South-east Asia. Citic Securities was the sole sponsor for IFBH's listing in Hong Kong. BLOOMBERG
