RMB 105M for 35% of a Dairy: Mixue Tightens Its Supply-Chain Grip Ahead of IPO

This is an English adaptation of a FoodBud historical article originally published on February 22, 2025.

For operators thinking about supply-chain control as a competitive weapon, Mixue's (蜜雪冰城) move to take an upstream dairy stake — on the eve of its IPO — shows vertical integration in action.

The dairy stake

In late 2024 Mixue invested RMB 105M for 35% of Xinxiang Leyuan. The target had no 2023 revenue and a RMB 1.8M net loss, but RMB 279.5M in total assets and dairy-ingredient production capacity — filling a gap in Mixue's control of upstream inputs. Partnering with controlling shareholder Junlebao (君乐宝, 65%), Mixue gains access to Junlebao's owned-farm milk supply, a farm-to-store chain that removes three intermediary links, and locked-in cost stability. Junlebao's ~120,000 tons/year of quality milk supply can cover Mixue's expansion needs for about three years; Mixue's 46,000+ stores absorb the upstream capacity.

Dairy has long been strategic in Mixue's procurement: a Dutch supplier ranked top-five in 2021 at RMB 292M (3.4%), rising to RMB 405M in 2022; in 2023 a New Zealand supplier became the second-largest at RMB 663M (3.8%), a ~50.7% three-year CAGR in purchasing.

Mixue had earlier made smaller bets: RMB 11.4M for 19% of Guangdong tea brand Huicha (2021) and RMB 3M for 30% of fried-chicken chain Jizhuangxiang (2022).

The IPO

On February 21, 2025 Mixue launched its global offering, targeting a March 3 listing on the Hong Kong main board. It planned to issue 17.06M H-shares at HKD 202.50, raising up to HKD 3.45 billion and implying a valuation above HKD 100 billion. Five cornerstone investors subscribed USD 200M (~HKD 1.558 billion): M&G Investments, HongShan (Sequoia China), Boyu Capital, Hillhouse (HHLR), and Meituan's Long-Z fund.

Scale and financials

As of December 31, 2024 Mixue operated 46,479 stores in China and abroad — the world's largest freshly made drinks company. End-retail sales were RMB 22.8 billion (2021), RMB 30.7 billion (2022), RMB 47.8 billion (2023) and RMB 58.3 billion (2024); cups sold were 3.6, 4.7, 7.4 and 9.0 billion respectively, with 2024 up ~21.9% in cups and ~21.7% in retail sales. Revenue was RMB 13.6 billion (2022), RMB 20.3 billion (2023) and RMB 18.7 billion (9M 2024), up 31.2%, 49.6% and 21.2%; net profit was RMB 2.0 billion, RMB 3.2 billion and RMB 3.5 billion, up 5.3%, 58.3% and 42.3%.

The throughline: at 46,000+ stores, Mixue's edge is less about any single drink than about owning more of the input chain — and the dairy stake is one more piece of that control.