Muji copycat Miniso to IPO in New York

A Miniso retailer in Shanghai. Reuters/Oriental Footage.

Miniso, a Chinese language language residence items and clothes retailer that copied the economic mannequin of Muji and the symbol of Uniqlo, “is planning to choose as a lot as $562.4 million in its preliminary public offering (IPO) on the New York Inventory Substitute,” opinions Caixin. This might give the agency a valuation of spherical $5.7 billion.

  • The agency will present 30.4 million American depositary shares (ADS) priced between $16.50 and $18.50 each.  
  • In accordance with its IPO prospectus, the agency has additional than 4,200 stores in additional than 80 nations and areas. Additional than half of the stores are in China.
  • In 2018, Miniso took a 1 billion yuan ($150 million) spherical of funding from Tencent and Hillhouse Capital. “Entities affiliated with Tencent would get 4.8% of Miniso’s inventory after the offering,” Reuters notes.

Based in 2013 in Guangzhou by Yè Guófù 叶国富, the agency is now not shocked about its imitation of Japanese manufacturers:

  • Miniso defines itself as “Japanese-inspired.” Most of its designers are Japanese and Scandinavian.
  • The agency’s Japanese “inspiration” has generated controversy, with some saying that its merchandise are “made in China to peek Japanese,” and others criticizing its “ungrammatical” use of Japanese on product labels, which administration admitted grew to become generated by Baidu’s free translation app.
  • Producers that get “impressed” Miniso could per likelihood presumably nicely nicely sue, and Miniso is aware of it. From the prospectus: “We might get to guard ourselves towards patent, trademark or diverse proprietary rights infringement or unfair opponents claims… We might additionally endure from detrimental publicities bearing on to psychological property infringement claims.”

As of today, 16 Chinese language language companies get listed on American inventory exchanges in 2020. There are 217 Chinese language language companies listed on U.S. exchanges, with a full market capitalization of $2.2 trillion.

  • Regardless of the tensions between the U.S. and China, Chinese language language companies proceed to get American markets dazzling. Corporations primarily based totally totally in China get raised $9.1 billion by IPOs throughout the U.S. this yr, in accordance with Bloomberg data.
  • The specter of financial conflict and the added scrutiny dropped at Chinese language language companies by the Luckin Espresso fraud scandal could per likelihood presumably nicely additionally sincere paradoxically be encouraging Chinese language language companies to choose cash throughout the U.S. as quickly as they’re going to, earlier than the method will get additional refined.

Jeremy Goldkorn labored in China for 20 years as an editor and entrepreneur. He’s editor-in-chief of SupChina, and co-founding father of the Sinica Podcast. Be taught additional

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