In just three months, the stock price rose from 1 yuan to 18 yuan, as Jin Xing Beer, which is aiming for Hong Kong stocks, faces regulatory inquiries.

Due to the popularity of Maojian tea beer, Henan Jinxing Beer Co., Ltd. (hereinafter referred to as “Jinxing Beer”) is stepping up efforts to list on the Hong Kong Stock Exchange (hereinafter referred to as “HKEX”). Recently, the company received a request from the International Affairs Division of the China Securities Regulatory Commission for supplementary materials regarding the overseas issuance and listing filing. Regulators require Jinxing Beer to provide supplementary explanations regarding six major items—including the pricing basis for each capital increase and equity transfer, the reasonableness of the subscription price for newly added shareholders, the compliance of the employee equity incentive plan, and the intended use of the proceeds—and require lawyers to verify and issue clear legal opinions.

In recent years, Jinxing Beer has attracted significant attention because of its Chinese-style craft beers represented by tea beer, and its performance has also surged rapidly.

In 2023 and 2024, the company’s revenue was 356 million yuan and 730 million yuan, respectively, and net profit was 12 million yuan and 125 million yuan, respectively. In the first 9 months of 2025, revenue jumped to 1.1 billion yuan and net profit reached 300 million yuan. Among them, Chinese-style craft beer is the core source of its revenue; in the first 9 months of 2025, this segment generated 867 million yuan, accounting for 78% of the company’s total revenue.

In January 2026, Jinxing Beer submitted its prospectus to the HKEX, and the company’s prior matters relating to capital increases and equity changes are currently under regulatory scrutiny.

According to the company’s prospectus, the foundation of the Jinxing Beer brand dates back to 1983. By the end of 2022, the company was formally established, with registered capital of 50 million yuan. The company is wholly held by Jinxing Holdings, which is owned 100% by Zhang Tieshan and Zhang Feng, the father-and-son actual controllers of Jinxing Beer. After 2023, Jinxing Beer acquired multiple beer assets from related parties.

In March 2024, Jinxing Beer completed its first round of capital increase, bringing registered capital to 150 million yuan, and Jinxing Holdings subscribed for 100 million yuan of the newly increased capital.

In September 2025, Jinxing Beer completed its second round of capital increase, bringing registered capital to 200 million yuan. In this round of capital increase, Zhang Tieshan and Zhang Feng subscribed for 20 million shares and 18 million shares, respectively, at a price of 1 yuan per share. Wancai Heyihao, Wancai Hemanage, Wancai Heerhao and Wancai Hesanhao subscribed for between 2 million and 4 million shares, respectively, at a price of 6 yuan per share. The company stated that the consideration for the capital increase was determined by referencing the face value of the company’s shares and the purchase price under the listing incentive plan.

By December 2025, Jinxing Beer completed its third round of capital increase. Wancai Hesanhao and Wancai Hewuhao subscribed for 170,000 shares and 1 million shares, respectively, at prices of 6 yuan per share and 18 yuan per share, respectively. The company disclosed that the consideration for Wancai Hewuhao took into account that the valuation firm used the market approach to assess the company’s net asset value at the end of September of that year; after fair consultation between both parties, the parties determined the consideration. The consideration for Wancai Hesanhao was the same as the second round of capital increase in September.

In response, the International Affairs Division of the CSRC required Jinxing Beer to explain the pricing basis for each capital increase and equity transfer, whether capital contributions were actually paid in full, whether there are any circumstances such as failure to fulfill contribution obligations, capital withdrawal, or defects in the form of contributions, and to issue clear, conclusive opinions on whether each equity change is legal and compliant. Second, it requires an explanation of the pricing basis for entry by new shareholders within the 12 months before submitting the overseas issuance and listing filing application, the reasons for any differences between the pricing and the capital increase pricing during the same period, the reasonableness of such differences, and the income tax payment status of the transferors involved in the aforementioned equity transfer transactions, and to issue clear, conclusive opinions on whether any related-party benefit transfer exists.

Apart from Zhang Tieshan and Zhang Feng, the father and son actual controllers of Jinxing Beer, the companies involved in the above capital increases are mostly employee shareholding platforms. Among them, Wancai Heyihao, Wancai Hemanage and Wancai Heerhao are all employee shareholding platforms of the company. Wancai Hesanhao is a shareholding platform of the company; other than general partner Zhang Feng, it has 19 limited partners. Most of them are relatives of Zhang Tieshan and Zhang Feng, and it also includes some retired employees and former employees. The contributors to Wancai Hewuhao include, among others, the controlling persons of Jinxing Beer’s distributors or potential distributors.

With regard to employee shareholding, regulators are also paying close attention. Among other requirements, the relevant parties require Jinxing Beer to explain whether the participants in the employee equity incentive plan are employees of the company, the specific composition and job roles of the participants, and whether the participants have any related-party relationship with other shareholders of the issuer, the directors, supervisors, and senior management of the issuer.