Lenovo Holdings Reshuffles Agricultural Division: Advancing Xinrongmao's Hong Kong IPO, *ST Justvision's Delisting Risk Remains Unresolved

On March 10, Lenovo Holdings (03396) announced that in order to facilitate the capitalization of the group’s fruit sector, it plans to promote the exit of some shareholders from Xinrongmao and XinGuo Jiayuan through joint acquisitions by Xinrongmao Fruit Industry Technology Group Co., Ltd. (referred to as “Xinrongmao”) and Jiawo. After the buyback is completed, both parties will work together to advance Xinrongmao’s listing on the Hong Kong Stock Exchange.

Meanwhile, as the only listed company in Lenovo’s agricultural sector, *ST Jiawo (300268.SZ), the delisting risk that has persisted for three years, remains unresolved.

Lenovo’s agricultural layout began in 2012, when Jiawo Group was established, focusing on modern agriculture and food industry investments.

In the same year, Jiawo Group acquired Qingdao Wolin Blueberry Industry Co., Ltd., initiating its strategic fruit industry development.

On December 16, 2015, Jiawo Group announced a strategic merger with Xinrongmao, becoming China’s largest full-industry-chain fruit enterprise, and at that time, proposed to go public. In 2019, Xinrongmao began A-share listing guidance but was unable to proceed.

Currently, Jiawo Group’s fruit sector mainly consists of Xinrongmao and XinGuo Jiayuan.

Xinrongmao was founded in 1998 and is a major fruit enterprise in Shenzhen, covering four main areas: variety introduction and authorized cultivation, professional supply chain services, omnichannel distribution, and product development and branding. In the first nine months of 2025, the company achieved a post-tax profit of 245 million yuan.

In the announcement, Lenovo Holdings stated that due to multiple internal and external factors, Xinrongmao’s A-share listing plan has not progressed as scheduled, and its Hong Kong listing scheme was also rejected by its shareholders, resulting in the company’s value not being effectively realized. Some shareholders have expressed a strong desire to exit.

After multiple rounds of thorough negotiations, Jiawo and Xinrongmao’s management team plan to promote the exit of some shareholders from Xinrongmao and XinGuo Jiayuan through joint acquisitions. After the buyback, both parties will work together to advance Xinrongmao’s listing on the Hong Kong Stock Exchange.

Specifically, Xinrongmao will repurchase a total of 57.3519 million shares from Junlian Shengyuan, Xiamen C&D, and Longmen Fund, accounting for about 14.13% of Xinrongmao’s equity, at a total cost of 1.086 billion yuan.

Jiawo Group’s subsidiary, Jiawo (Qingdao) Agricultural Investment Co., Ltd. (“Jiawo Agricultural Investment”), will purchase 19.7534 million shares of Xinrongmao from the Rural Industry Fund, representing approximately 4.87% of the shares, at a price of 420 million yuan.

Additionally, Jiawo Industrial Development will acquire a total of 10.64% of XinGuo Jiayuan’s equity from Longmen Fund, Xiamen C&D, Junlian Capital, and Junlian Shengyuan, at a total price of 121 million yuan.

After the completion of the acquisitions and share transfers, Jiawo Agricultural Investment and Jiawo Agriculture will hold 180 million shares of Xinrongmao, accounting for 44.32%; Jiawo Agricultural Investment, Jiawo Agriculture, and Jiawo Industrial Development will hold approximately 76.01% of XinGuo Jiayuan’s equity.

Regarding the significant uncertainty surrounding the listing of agricultural companies on the Hong Kong Stock Exchange, Lenovo Holdings requires management to make a commitment: if Xinrongmao cannot complete a qualified listing application before September 30, 2027, and achieve listing before December 31, 2027, the group has the right to choose to fully exit Xinrongmao through a management buyout. Similarly, as an equal condition, management also demands that when the group waives its priority sale option, management will have a subordinate sale option.

In contrast to the push for fruit sector listings, the *ST Jiawo (300268.SZ), once expected to be a flagship of Lenovo’s marine protein industry and listed on A-shares, still faces dual delisting risks.

As early as 2017, Lenovo Holdings took control of Jiawo Food, establishing its first capital platform in the agricultural sector. However, Jiawo Food suffered from years of losses due to debt-financed acquisitions of Chilean salmon company Australis Seafoods S.A. (“Australis”). Since the market opened on April 10, 2023, it has triggered “Risk Warning” and “Other Risk Warning” labels.

Since then, Lenovo Holdings has attempted to mitigate the risk through debt waivers, related guarantees, share increases, private placements, and financial support, but the delisting risk for *ST Jiawo remains unresolved.

Currently, Lenovo Holdings operates two major business segments: industry operation and industry incubation and investment. The industry operation segment includes three listed companies: Lenovo Group (0992.HK), Lanhong Xinke (003022.SZ), and *ST Jiawo (300268.SZ). The industry investment segment holds stakes in three listed companies: Fuhuanwei, Lakala, and China Eastern Logistics.

Source: Taishan Finance