Hosen Capital 2024 RMB Fund AGM Successfully Held

On March 28, 2025, Hosen Capital hosted its Annual General Meeting in Beijing, welcoming the RMB Fund investors for a comprehensive performance review. Additionally, Hosen engaged in in-depth discussions with limited partners on trends in advanced manufacturing, AI-driven transformation in food processing, and comparative models of overseas expansion between Chinese and Japanese companies — aiming to jointly identify future opportunities and navigate certainties in a rapidly evolving market.

At the outset of the meeting, Wei Shang and Weijin Li of Hosen Capital provided a comprehensive update on fund performance, investments and exits. Over the past year, the portfolio companies delivered consistently strong and resilient results.

For the past fifteen years, Hosen Capital has maintained a sharp focus on the food and consumer sectors, driven by deep insight into structural pain points and emerging trends. By rigorously sourcing and actively shaping investment opportunities, Hosen has identified high-potential challengers and scaled them into market leaders. Leveraging its strategic ecosystem, Hosen consistently applies a Buy-and-Build strategy to accelerate transformation and value creation — demonstrating its long-term commitment to backing quality assets and driving industry leadership.

Zuhong Su of Hosen Capital detailed the investment thesis on premiumization in China’s dairy sector and the localization of aseptic packaging. He outlined how Hosen’s “Capital-Plus-Network” model empowers portfolio companies to diversify product offerings, improve operational margins, expand globally, pursue collaborative M&A opportunities, and build global category leaders.

Amid mounting competition in China’s dairy sector, Xinyu Ge of Hosen Capital, unpacked strategies for category innovation through a dual-track approach—organic product differentiation and M&A—to capture growth in a saturated market. Moving forward, Hosen will capitalize on its industrial expertise to curate high-potential targets across the value chain, while orchestrating cross-sector synergies via its strategic ecosystem to cement market leadership.

On the topic of post-investment value creation, Eva Zhang of Hosen Capital shared how the firm partners with its portfolio companies to drive differentiated and sustainable growth. One such buyout, undertook a series of transformation initiatives—including the digital reengineering of store operations and the buildout of a scalable retail business. Through a dual-engine business model, the company successfully turned around losses and delivered accelerated growth despite challenging market conditions.

Drawing on deep insights into the compound seasoning sector, Hosen Capital identified a window of opportunity driven by domestic substitution and industry consolidation. Michael Li of Hosen outlined how the firm integrates strategic resources, strengthens organizational capabilities, and expands market access to scale platform value. Anchored by a core strategy of organic growth enhanced by targeted M&A, Hosen aims to build a leading, full-spectrum player in China’s compound condiment market.

“Hosen identifies high-quality M&A targets through deep industry insight and consistently executes a Buy & Build strategy focused on growth,” said Gongdong Chen of Hosen Capital. “We aim to create shared value while building long-term capabilities across our portfolio.”

The event also featured Mr. Feng Yu, former Chief Investment Officer of New Hope Group, who shared insights on emerging trends in smart robotics and semiconductor equipment. He emphasized that the manufacturing sector is shifting from a product-driven to an industry-driven paradigm. Investors, he noted, should closely follow the strategic direction of leading players, stay attuned to sectoral trends, and actively seek opportunities in financial investments and M&A among top-tier companies.

In the final segment of the conference, Hosen Capital’s two Founding Partners delivered keynote presentations on the application of AI in food processing and the differing globalization strategies of Chinese and Japanese companies.

Dr. Alex Zhang, Founding Partner of Hosen Capital, noted that food processing can be viewed as a series of matrix transformations, a structure well-suited for AI-driven optimization. He emphasized that AI enables more granular process control, significantly boosting both production efficiency and product quality. At the same time, he pointed out that AI introduces new lines of thinking—blurring traditional industry boundaries, challenging the value of legacy brands and mental models, and accelerating shifts in cost structures.

Chris Hang, Founding Partner of Hosen Capital, noted that U.S.-China trade tensions have profoundly reshaped global supply chains and trade dynamics. In the past, trade wars have taken the form of currency and tariff battles, giving rise to distinct expansion strategies, go-to-market models, and ecosystem structures across markets. He emphasized that Chinese companies going global must draw on these historical patterns with a long-term perspective. As a buyout-focused investor with deep roots in the food and consumer sector, Hosen Capital brings extensive cross-border M&A experience. Looking ahead, the firm aims to partner with more Chinese enterprises on their globalization journeys—co-building international channels and brands through strategic collaboration.

At the end of the meeting, Joanne Gan of Hosen Capital delivered the closing remarks, expressing heartfelt thanks to all investors for their longstanding trust and support. Hosen looks forward to reconnecting with everyone at next year’s annual gathering.