Sichuan Teway spices up Hong Kong’s hot IPO market

The maker of ready-to-cook and hotpot pre-mixed seasonings has filed to list in Hong Kong, positioning itself as a consolidator in China’s huge seasonings market

This article only represents the author's own views.

At a time when many consumer stocks are offering bland valuations for investors, a notable exception has been condiment and seasoning makers, which may actually benefit during economic slowdowns as more people forgo eating out to cook at home. Makers of premixed spice combinations for cooking and popular eat-at-home hotpots look particularly well placed, catering to a younger generation that prizes convenience over traditional cooking from scratch.

Into that stew, Sichuan Teway Food Group Co. Ltd. (603317.SH) is hoping to sell investors on its ready-to-cook and hotpot seasonings business mix with its application last week for a Hong Kong IPO, which would complement its existing listing in Shanghai. The move would make Teway China’s second major seasoning company to list in both markets, following a Hong Kong IPO by soy sauce titan Haitian Flavouring (3288.HK; 603288.SH) in June.

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