An Analysis of IPO Motivation and Effects of New Chinese Tea Brands: Taking NAYUKI Tea as an Example

Abstract

The Initial Public Offering (IPO) listing of emerging Chinese tea brands in Hong Kong has captured widespread attention in current social discourse. Amidst the swift evolution of the tea brand industry and the advent of innovative Chinese tea offerings, the competitive landscape is witnessing a surge, prompting numerous brands to opt for Hong Kong IPOs as a strategic move to “breakthrough the siege.” Focusing on NAYUKI Tea as the subject of investigation, this paper delves into the rationale behind NAYUKI Tea’s IPO within the context of the tea brand market. It meticulously examines the financial and non-financial transformations both preceding and succeeding its IPO. The analysis reveals an enhancement in NAYUKI Tea’s financial operations post-IPO, although formidable challenges persist in the capital market. Building on these findings, the paper consolidates insights into NAYUKI Tea’s IPO journey, offering a comprehensive overview of its experiences, coupled with anticipations and prospects for the future of the tea industry.