PAG has successfully privatized Shandong Fengxiang Co., Ltd., China's largest broiler chicken exporter, enhancing operational efficiencies and targeting growth in the poultry sector.

Target Information

This deal involves PAG, a leading alternative asset investment company based in the Asia-Pacific region, which has successfully completed the privatization of Shandong Fengxiang Co., Ltd. (stock code: 9977.HK) through a merger absorption method. The company, known for being the largest exporter of broiler chickens in China and a key player in the poultry retail market, focuses on a range of products, including processed chicken products, fresh chicken products, day-old chicks, and others. Fengxiang is celebrated for its strong supply chain management and commitment to quality, positioning it as a leader in the sector.

The privatization process culminated on July 31 when Fengxiang was delisted from the Hong Kong Stock Exchange. China International Capital Corporation (CICC) acted as the exclusive financial advisor for the acquirer, leveraging its extensive experience in managing Hong Kong stock privatization transactions. CICC's meticulous strategy ensured high approval rates of 99.99% and 99.90% during the temporary shareholders and H-share class meetings, respectively, facilitating a smooth transition of ownership.

Industry Overview in China

The poultry industry in China has experienced significant growth, driven by the rising demand for affordable protein sources. As one of the world’s largest producers and consumers of poultry meat, Chin