CVC Capital Partners (''CVC'') and South Beauty Investment Company Limited (''South Beauty'' or "the Company"), a well-known Chinese restaurant chain, are delighted to announce the completion of an investment by CVC funds. CVC has obtained approval from the relevant regulatory authorities, and is now the major shareholder of 82.7% in the Company.
Ms. Zhang Lan, the founder of South Beauty, remains as Chairwoman of the Company and is still one of the shareholders. She will continue to play an important role in setting the strategic direction of South Beauty in partnership with the CVC team. Mr. An Yong will continue to serve as the President and Executive Director of the board in charge of South Beauty's day-to-day operations.
Ms. Zhang Lan said, "CVC's vision for South Beauty highly aligns with ours in respect of brand positioning, future growth areas, corporate culture and values. More importantly, CVC's investment will help South Beauty drive greater economies of scale and increase operational efficiency.'' Ms. Zhang Lan further commented, "I regard the ‘South Beauty' brand as my daughter. As founder of South Beauty, I have great sentiment attached to this brand, but I genuinely believe that this partnership will create a bright future for South Beauty in the years to come."
Mr. Francis Leung, CVC's Managing Partner and Chairman of Greater China, said, "South Beauty is a leading player in the mid-to-high end Chinese FSR sector. We think highly of the South Beauty management team led by Ms. Zhang Lan and Mr. An Yong, and are impressed by their deep industry insights and knowledge as well as strong execution capabilities. We are confident that together with the management team, we will develop South Beauty's brand potential to the fullest."
Mr. An Yong, South Beauty's President said, "South Beauty will gradually expand into new cities. With the help of CVC, South Beauty will be able to further enhance its core competence and brand power." CVC will support management in areas such as business model upgrade and menu optimisation.