“Work overtime and hurry home, because there is a furry little cute waiting for you.” It has become the inner monologue and normal life of countless pet owners in recent years.
In the face of the “loneliness” of more than 92 million adults living alone, the “cute pet” family membership, aging and single tide of “cats and dogs” have promoted the outbreak of China’s pet economy by 100 billion.
Today, the Beijing stock exchange ushered in the 88th stock, which is also regarded as the “first share of pet food” of the Beijing stock exchange.
Lux shares were listed on the Beijing stock exchange on March 11 and delisted from the new third board on the same day. The announcement shows that the issuing price of the company is 7.2 yuan / share, the price earnings ratio is 21 times, 130434 million shares are issued, and the fund-raising is about 9391248 million yuan.
According to the announcement, in the strategic placement link, the company has attracted 10 war investors, including Anxin securities, Citic Securities Company Limited(600030) , Shandong Guotai Capital Management Co., Ltd., Shandong finance venture capital Co., Ltd.
In the online innovation link, the company attracted 325000 investors to participate in the innovation. The number of effective subscription was 13.317 billion shares, and the online frozen fund was 95.9 billion yuan, with a distribution ratio of 0.09%.
As a pet food manufacturer, Lux’s products are mainly exported, supplemented by sales in China. During the reporting period, the company’s overseas sales revenue accounted for 77.12%, 80.01%, 83.86% and 85.59% respectively, showing a stable upward trend.
The staff of the company had previously revealed that the project of “30000 tons of PET staple food per year” to be raised by the Beijing stock exchange will mainly face the Chinese market. At present, China’s pet food market has entered a stage of rapid development. The company is gradually strengthening the development of the Chinese market. It needs to invest more promotion and operation funds, human resources and development resources to improve China’s market share.
How fast has the pet market risen over the years?
According to the data of iResearch consulting, the scale of China’s pet market showed a continuous growth trend from 2015 to 2020. In 2020, the market scale was 298.8 billion yuan, a year-on-year increase of 18.5%. It is estimated that by 2023, the market scale of China’s pet industry will reach 445.6 billion yuan.
Some of them make pet food, some of them make pet food, and some of them are as high as 100 million yuan, and some of them make pet medical services.
Among them, pet medical insurance and pet funeral market are growing fastest, and pet photography, pet foster care and other services are still in the development stage.
Pet medical insurance mainly includes pet medical insurance, pet third liability insurance, pet consignment insurance, etc. among them, pet medical insurance is the most popular because of the sky high medical expenses. At present, The People’S Insurance Company (Group) Of China Limited(601319) , Ping An Property Insurance, The Pacific Securities Co.Ltd(601099) insurance, Sunshine Property Insurance, land insurance and other insurance companies have launched relevant insurance, alleviating the pressure of pet owners, and people’s attention to pet insurance has reached the peak.
The pet funeral industry is also quietly rising. According to tianyancha app, up to now, there are 1300 enterprises operating in China, including “pet funeral”. The diversified services such as grooming, farewell ceremony and customized souvenirs have met the emotional demands of many pet families.
Facing the rapid rise of “other economy”, many listed companies have also entered the market.
Shenzhen Mindray Bio-Medical Electronics Co.Ltd(300760) , the leader of medical devices, said in the record of investor relations activities released last month that in addition to the three traditional business areas, emerging businesses such as animal medicine are also becoming an important force to help Shenzhen Mindray Bio-Medical Electronics Co.Ltd(300760) long-term growth. Under the continuous influence of covid-19 epidemic, animal medical treatment still achieved rapid growth in 2021 and is expected to maintain rapid growth in the future.
According to the company’s statistics, the global pet medical device market space is about US $7 billion. At present, it is mainly concentrated in Europe and America, but the Chinese market is in the explosive stage, and the overall industry is still in a vigorous stage of rapid development. As early as 2020, Shenzhen Mindray Bio-Medical Electronics Co.Ltd(300760) set up a subsidiary of animal medicine, which is enough to show its attention to this business.
However, the pet food industry still accounts for the largest market share in the pet economy. As a just needed and high-frequency consumption, pet food has natural advantages. Moreover, with the high cost performance and quality improvement of domestic products, it has also won the choice of more and more rational pet raisers.
China’s Yantai China Pet Foods Co.Ltd(002891) , Petpal Pet Nutrition Technology Co.Ltd(300673) and other enterprises started from overseas OEM business, focusing on the Chinese market and building their own brands in recent years. Yantai China Pet Foods Co.Ltd(002891) formed the dual core brand matrix of wanpy + zeal, and the Chinese business continued to maintain a high growth rate of more than 50%.
