意大利贵宾

On January 6, 2022, Chinese fast-food chain Laoxiangji officially announced the completion of its Pre-IPO round of financing, signaling the imminent arrival of the "first Chinese fast-food stock." As early as April 2018, Harvest  Capital had invested nearly 200 million yuan in Laoxiangji, becoming the only external investment institution at that time.

Speaking of why they chose to invest in "Laoxiangji" back then, Song Xiangqian, the founder and chairman of Harvest Capital, had his own set of logic.

Firstly, Laoxiangji is positioned as a "community canteen" for the Chinese people, focusing on "delicious, affordable, and healthy" options to address the basic needs of the general public, which are essential, high-frequency, and related to daily life. In the future of China, regardless of macroeconomic changes, enterprises with "infrastructure functions" like this are expected to encounter significant opportunities.

Secondly, Laoxiangji's founder, Shu Congxuan, has cultivated the "free-range chicken" concept for over 20 years. The "Laoxiangji model" he created exhibits strong competitiveness in the Chinese fast-food industry. Under strict standardized operations and a precise quality control system, coupled with informatization and technological transformation, the brand's "full industry chain + direct operation" heavy-asset operating model becomes agile and efficient. It is the only Chinese fast-food chain that seamlessly connects the entire industry chain from "breeding-central kitchen-restaurant sales." This model supports Laoxiangji's rapid nationwide store expansion and replication.

Additionally, Harvest Capital's investment emphasizes the role of "people." The excellent genes of the founding team are a major reason why Harvest chose to invest in Laoxiangji. The dynamic father-and-son team, Shu Congxuan and his son Shu Zong, bring unique insights into strategic development, talent building, and operational management. Their entrepreneurial spirit, characterized by openness, inclusivity, and a willingness to learn, were crucial factors in Song Xiangqian's decision to invest.

Once the target is identified, swift action is imperative. This investment, from initial discussions to subsequent funding, took only five months. The 200 million yuan investment attracted considerable attention in the same year.

Harvest Capital has always been a practitioner of empowering investments. In the post-investment empowerment phase for Laoxiangji, Harvest not only provided capital but also assisted in comprehensive budget management, performance management, and internal control mechanism "organization, management, and process reengineering." Through specific operational measures such as optimizing labor costs, transitioning to a delivery model, and adjusting marketing plans, they helped address operational pain points. Additionally, Harvest Capital assisted Laoxiangji in completing the comprehensive acquisition of store assets from Wuhan Yonghe, rapidly expanding the number of stores and brand influence in the Wuhan region. Harvest Capital's entry further strengthened Laoxiangji's determination for nationwide expansion. In the process of Laoxiangji's expansion into Shanghai, Harvest Capital provided significant assistance and support in various aspects such as selecting the location for the central factory, headquarters relocation, and obtaining land resources.

Today, Laoxiangji has surpassed a thousand stores with an estimated valuation of nearly 20 billion yuan, making a vigorous push for an IPO on the Shenzhen Stock Exchange main board, poised to become the undisputed "first Chinese fast-food stock." At that time, Harvest Capital's investment portfolio will once again feature prominently with the listing of a Chinese fast-food and consumer industry enterprise. This truly reflects Harvest Capital's investment philosophy of "supporting Chinese consumption, empowering national brands, entering the realm of human life, and empowering people's lives," making it well-deserved as the "most human and down-to-earth" investment institution.