Joy Wing Mau Sets Sights on Hong Kong Listing

On March 10, Legend Holdings announced that, in order to establish a capitalization pathway for the group’s fruit business, it plans to facilitate the exit of certain shareholders from Joy Wing Mau Fruit Technologies Corporation Limited and Xinguo Jiayuan (鑫果佳源) through a joint share repurchase arranged by Joy Wing Mau and Joyvio Group. Once the repurchase is complete, both parties will jointly advance a plan for Joy Wing Mau’s listing on the Hong Kong Stock Exchange.

As of the date of the announcement, Legend Holdings indirectly held approximately 39.46% of the equity in Joy Wing Mau. While promoting Joy Wing Mau’s listing, ST Joyvio, the only listed company under Legend’s agriculture segment, remains mired in difficulties related to its Chilean salmon farming business, and the risk of delisting, which has persisted for three consecutive years, has not yet been eliminated.

In 2010, Legend Holdings began investing in modern agriculture. In 2012, Joyvio Group was formally established and, in the same year, acquired Qingdao Wolin Blueberry Fruit Industry Company Limited (青岛沃林蓝莓果业有限公司). In December 2015, Joyvio Group and Golden Wing Mau Group announced a merger to form the new entity Joy Wing Mau, which became China’s largest fruit company. In 2019, Joy Wing Mau planned an initial public offering and filed for listing guidance with the Shenzhen Bureau of the China Securities Regulatory Commission.

Legend Holdings announced that, due to various internal and external factors, Joy Wing Mau’s A-share listing plan did not progress as scheduled. Additionally, its Hong Kong listing proposal was rejected by some shareholders, hindering the effective realization of the company’s value and prompting certain shareholders to express a strong desire to exit.

Given the significant uncertainty surrounding the listing of agricultural companies in Hong Kong, Legend Holdings has required management to commit to a listing timeline. If Joy Wing Mau fails to submit a qualified listing application by Sept. 30, 2027, and complete its listing by Dec. 31, 2027, Legend Holdings will have the right to exit its entire investment through a management-led buyback. This arrangement ensures that Joyvio retains a viable exit pathway while allowing Legend Holdings to realize returns from its investments in the fruit sector. In return, management has requested that, should Legend Holdings waive its priority sale option, management be allowed to retain a subordinated sale option.

Image: Joy Wing Mau Fruit Technologies Corporation Limited

This article was translated from Chinese. Read the original article.