The Largest 2025 M&A Deal in China's Beauty Service Industry: Beauty Farm Strategically Acquires Siyanli for RMB1.25 Billion, Reshaping the Premium Beauty Service Market

About this update from Beauty Farm Medical & Health Industry, Inc.

[{"type":"text","content":"HONG KONG, Oct. 15, 2025 /PRNewswire/ -- Beauty Farm Medical and Health Industry Inc. ("Beauty Farm" or the "Company") (02373.HK), is pleased to announce that it has strategically acquired 100% equity interest in Shanghai Siyanli Industrial Co., Ltd. ("Siyanli") for a total consideration of RMB1.25 billion.","length":338,"tagName":"p"},{"type":"text","content":"Founded in 1996, Siyanli is a benchmark brand in China's premium beauty service industry. According to Frost & Sullivan, Siyanli ranked as the third-largest beauty brand in China by revenue in 2024. Siyanli recorded revenue of RMB850 million and net profit of RMB81 million in 2024 (unaudited), underscoring its well-established track record of solid and resilient performance.","length":385,"tagName":"p"},{"type":"text","content":"The transaction will be settled through a combination of cash and equity, with 67% of the consideration paid in cash and 33% in newly issued shares. To optimize capital efficiency, Beauty Farm has arranged acquisition financing to cover 41% of the transaction, meaning the Company will utilize only RMB330 million of its own funds to complete the RMB1.25 billion acquisition. Under the Share Purchase Agreement (SPA), the shares issued to the seller, MBK Partners, will be subject to a phased lock-up period, demonstrating the seller's strong confidence in Beauty Farm and Siyanli's long-term synergistic potential. From a valuation perspective, the transaction values Siyanli at a highly attractive P/E ratio of just 14.8x, significantly lower than Beauty Farm's own current trading multiple and the average valuation of comparable peers.","length":851,"tagName":"p"},{"type":"text","content":"This acquisition marks another game-changing move for Beauty Farm in reshaping the industry landscape following its 2024 acquisition of Naturade, China's second-largest beauty brand by market share. Upon completion of this transaction, the Group will rapidly expand its store network, bringing the total number of stores to more than 734, and grow its direct store membership base beyond 200,000. The Siyanli acquisition will inject powerful growth momentum into the Company's comprehensive "dual beauty + dual wellness" model, driving a major leap forward in Beauty Farm's industry leadership and market i...

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