Mainland Chinese restaurant chain Green Tea Group has received approval from the Hong Kong stock exchange for an initial public offering (IPO), marking its fifth attempt in four years to go public in the city.
The Hangzhou-based budget-dining chain said in a filing on Wednesday that the exchange’s listing committee had approved the proposal.
While the company has not yet disclosed the amount it intends to raise, a notice from the Chinese securities regulator on March 28 showed that Green Tea planned to offer nearly 213 million ordinary shares in Hong Kong. Chinese companies are required to obtain approval from the China Securities Regulatory Commission before pursuing an overseas listing.
Green Tea plans to use the IPO proceeds to expand its restaurant network, establish a centralised food processing facility, upgrade its information technology system and related infrastructure, and for working capital.
Green Tea filed its Hong Kong listing application for the first time in March 2021. The company submitted its most recent application in December, aiming to capitalise on the revival in the IPO market late last year.
