Jakarta – Zhang Hongchao’s wealth is starting to receive world attention. The founder and owner of the Mixue ice cream shop is even said to be on the list of the richest people in the world.
Based on estimates Forbes, Mixue saw revenue and net profit rise 46 percent and 48 percent in the first nine months of 2023 to USD 2.2 billion and USD 338 million. In line with the company’s performance, Zhang Hongchao’s wealth is estimated to be around USD 1.2 billion or IDR 18.67 trillion.
Forbes revealed that Mixue Bingcheng has 36,000 stores and is one of the largest bubble tea producers in China. Mixue also plans to release shares to the public or initial public offering (IPO).
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With the IPO later, as released by CNN, January 4 2024, Mixue will receive fresh funds from the IPO of around USD 500 million to USD 1 billion. However, the number of shares related to this IPO is not yet known for certain.
Mixue itself is a franchise company from China whose main business is ice cream. This company was started by Zhang Hongchao in 1997 with initial capital of only 4,000 yen or around IDR 7 million.
Initially, there were three types of products sold, namely shaved ice, ice cream and smoothies. With a profit of around 100 yen or around IDR 175 thousand per day. However, this business went bankrupt and only started to be rebuilt in 1999.
Like businesses in general, Mixue also experiences the ups and downs of its business. Zhang Hongchao started the franchise business scheme in 2008, which year also coincided with the Beijing Olympics.
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Currently, Mixue has approximately 20,000 outlets in China and 1,000 outlets spread across various countries such as Indonesia, the Philippines, Indonesia, Malaysia and Singapore, with the valuation of the entire Mixue business estimated at USD 3.17 billion or around IDR 49.54 trillion.
In 2010, Mixue developed into its own company by expanding to regions outside China. To develop Mixue seriously, they also have a research and development center in the Henan area. The warehouse and logistics division in the region is also said to be able to reduce Mixue’s operational costs.