Pop Mart International Group Limited (“Pop Mart”) (HKG:9992) is the largest and fastest-growing pop toy company in China. Shares of the Chinese toymaker more than doubled on its trading debut on the Hong Kong stock exchange on 11 December 2020 marking another eye-catching initial public offering (IPO). If you are looking at Pop Mart with interest, here are 10 things to know before you invest.
1. China’s pop toy retailing market
China’s pop toy retailing market is still at an early stage and has witnessed a rapid growth in the past few years, according to Frost & Sullivan Report. The market size of pop toy retailing in China increased from RMB6.3 billion in 2015 to RMB20.7 billion in 2019, representing a compounded annual growth rate (CAGR) of 34.6%. Driven by continuously increasing popularity of pop toys in China, the market size of pop toys retailing is expected to reach RMB76.3 billion in 2024, representing a CAGR of 29.8% from 2019.