Tiantu Investment fully liquidates Uno China, cashing out 1.565 billion yuan. Can IDG take over and open a new chapter?

Global well-known yogurt brand Yoplait’s China operations have taken a major turn. Recently, Tian Tu Investment (01973.HK) announced the completion of the sale of 86.96% of Yoplait China’s equity, with a total transaction value of 1.565 billion yuan, marking the official exit of this investment firm from the joint venture.

Looking back to 2019, during the booming development of China’s high-end yogurt market, Tian Tu Investment acquired controlling stake in Yoplait China from General Mills. However, the sudden outbreak of the pandemic disrupted market momentum, and competition in the low-temperature yogurt sector intensified. According to data disclosed by Tian Tu Investment, Yoplait China suffered consecutive losses from 2020 to 2022, totaling over 190 million yuan, until 2023 when it achieved a small profit of 8.39 million yuan. In 2024, the company’s performance significantly improved, with revenue reaching 810 million yuan and net profit soaring to 95.45 million yuan, representing year-over-year increases of 78% and 1038%, respectively.

Despite the improved performance, Tian Tu Investment chose to exit at this time. Sources familiar with the matter revealed that IDG Capital’s acquisition negotiations with Yoplait China lasted nearly a year, attracting competition from several top-tier investment institutions. Market analysts believe that Tian Tu Investment, known for its “long-term companionship” approach, is exiting to lock in investment returns and avoid potential funding pressures and market risks during the company’s expansion phase. The company’s announcement indicated that this equity sale is a key step in fulfilling the fund’s exit obligations, as the Tian Tu Xingpeng Fund managed by Tian Tu is now in the exit period and must return capital to investors as per the agreement.

As a well-known investment firm in the consumer sector, Tian Tu Investment has successfully invested in star companies like Nayuki and Zhou Hei Ya, but has faced performance pressures in recent years. In 2023 and 2024, the company’s net profit attributable to shareholders has been in loss for two consecutive years, with total losses reaching 1.764 billion yuan. As of the latest trading day, Tian Tu Investment’s stock price closed at HKD 2.65, with a total market value of HKD 1.837 billion. The 1.565 billion yuan from this equity sale will significantly improve the company’s cash flow and support future investment strategies.

Taking over Yoplait China, IDG Capital has extensive experience in the consumer sector, with a portfolio including well-known brands like Heytea, Luckin Coffee, and Genki Forest. Facing fierce competition in China’s low-temperature yogurt market, Yoplait China currently ranks around fifteenth in market share, with a significant gap compared to leading companies. According to Euromonitor data, the market size of China’s low-temperature yogurt reached 67.28 billion yuan in 2025, with a compound annual growth rate of 8.5% from 2021 to 2025, and is expected to surpass 110 billion yuan by 2030. However, the market is highly concentrated, with the CR5 group holding over 70% of the share.

IDG Capital plans to promote Yoplait China’s development through multiple initiatives. In regional expansion, the focus will be on breaking into South China and North China markets to improve nationwide coverage; in channel development, deeper cooperation with modern retail channels will be pursued, along with exploration of e-commerce and community group-buying channels; in ecosystem synergy, Yoplait will collaborate with invested companies like Luckin and Heytea on supply chain and brand linkage. Whether these measures can help Yoplait break through growth bottlenecks and secure a more advantageous position in a highly competitive market will be a key industry focus.