Analysis of Baifu Holdings (01488.HK) Gaining Market Attention Due to Yujian Xiaomian's IPO

Baifu Holdings (01488.HK) is a listed company in the Hong Kong Stock Exchange’s Non-Essential Consumption/Catering sector, with a current market capitalization of approximately HK$1.042 billion. The core reason why the company has recently become a popular stock on the Hong Kong Stock Exchange’s surge list is the listing expectation of Yujian Xiaomian (2408.HK), a chain catering brand it invested in [0]. According to disclosures by the Hong Kong Stock Exchange, Yujian Xiaomian plans to list on December 5, 2025, with a global offering of 97.3645 million H-shares and an issue price range of HK$5.64 to HK$7.04 [2][3][4]. Baifu Holdings currently holds 15.46% of Yujian Xiaomian’s shares (having sold 1.70% of its shares in August 2025 previously) and remains an important strategic investor [0]. Yujian Xiaomian’s revenue grew from RMB 418 million to RMB 1.154 billion from 2022 to 2024, with net profit reaching RMB 41.834 million in the first half of 2025, a year-on-year increase of 95.77%, and it is the fourth-largest Chinese noodle restaurant operator in China (with a 0.5% market share in 2024) [2][3][4]. Recently, Baifu Holdings’ share price has fluctuated; as of the closing price on December 1, 2025, it was HK$0.66, with a negative trailing twelve months (TTM) price-to-earnings ratio and a TTM price-to-book ratio of -3.44 times [1]. Regarding market sentiment, Yujian Xiaomian’s positioning as the ‘first Chinese noodle restaurant stock’ and the participation of cornerstone investors such as Hillhouse Capital and Haidilao have increased investors’ attention to Baifu Holdings’ investment value, leading to more related discussions on platforms like Xueqiu [5].

1. The IPO boom in the catering sector continues, with leaders in segmented fields gaining attention: Yujian Xiaomian’s listing as a leading enterprise in the Chinese noodle restaurant segment reflects the capital market’s attention to the recovery of catering consumption and leaders in segmented sectors, and also brings short-term market focus to Baifu Holdings [0].
2. Endorsement by well-known cornerstone investors enhances market confidence: Yujian Xiaomian’s introduction of well-known institutions such as Hillhouse Capital and Haidilao as cornerstone investors not only increases its own listing success rate but also indirectly verifies the forward-looking nature of Baifu Holdings’ investment decisions, enhancing investors’ confidence in Baifu Holdings [3].
3. Investment income has limited impact on Baifu Holdings’ performance: Although Yujian Xiaomian has good performance growth, Baifu Holdings only holds 15.46% of its shares and is in a loss state itself, so the effect of this investment income on its overall performance improvement may be relatively limited [0][1].

• Intensified competition in the catering industry: The Chinese noodle restaurant market is highly fragmented, and Yujian Xiaomian faces fierce competition from other chain brands and local noodle restaurants, leading to uncertainty in future performance growth [0].
• Financial pressure: Baifu Holdings currently has negative price-to-earnings and price-to-book ratios, and its own finances are in a loss state; its going concern ability needs attention [1].
• Uncertainty in investment income: Baifu Holdings holds a low proportion of Yujian Xiaomian’s shares, and there is a possibility of subsequent equity disposal, so the scale and sustainability of investment income are difficult to determine [0].

• Valuation increase after Yujian Xiaomian’s listing: If Yujian Xiaomian’s share price performs well after listing, the value of Baifu Holdings’ holdings will rise, which may drive up its own share price [0].
• Market recognition of investment capabilities: The successful listing of Yujian Xiaomian will reflect Baifu Holdings’ investment capabilities in the catering sector, helping it obtain more high-quality investment targets in the future [0].

Baifu Holdings (01488.HK) has become a popular Hong Kong stock recently due to the IPO expectation of its investment target Yujian Xiaomian (2408.HK). As a leading enterprise in the Chinese noodle restaurant segment, Yujian Xiaomian has strong performance growth and endorsement from well-known institutions, which has sparked market attention to Baifu Holdings’ investment value. However, investors need to pay attention to risks such as Baifu Holdings’ own financial losses, competition in the catering industry, and uncertainty in investment income. It is recommended to pay attention to Yujian Xiaomian’s listing pricing and first-day performance, Baifu Holdings’ subsequent equity disposal situation, and the improvement of its own financial condition.