Asian private equity (PE) firm FountainVest is acquiring 92% of Jixiangju, a Chinese food manufacturer specialising in pickles and sauces, through a vehicle affiliated with its $2.9-billion fourth flagship fund.
The buyout- and growth-focused PE firm plans to purchase the Chinese pickled foods maker from its existing shareholders and management team through a Cayman Islands-registered vehicle, FountainVest Capital Partners GP4 Ltd, according to a public disclosure made by a local market regulatory authority in China.
The size of the acquisition was not disclosed. Its completion is subject to the regulator’s approval.
While the deal size remains undisclosed, Jixiangju was valued at well over $340 million in July 2023, when its previous controlling shareholder, the South Korean food giant CJ CheilJedang Corp, fully divested from the business by selling its 60% stake to multiple Chinese institutional investors and Jixiangju’s existing shareholders for about 300 billion South Korean won ($206 million).
Before the full exit, CJ CheilJedang Corp had acquired the 60% stake in Jixiangju on two separate occasions. The South Korean giant had first invested in Jixiangju for a 49% stake in 2011, before purchasing an additional 11% in 2016.
Jixiangju’s latest disclosed annual revenue was 1.3 billion yuan ($187.8 million) in 2023, according to a March 2023 report by the state-owned People’s Daily, citing a company spokesperson.
Founded in late 2000 and primarily operating from Sichuan Province in southwestern China, Jixiangju is one of the top five players in China’s fragmented pickled foods market. Its major competitors include the state-controlled Chongqing Fuling Zhacai Group, which has been listed on the Shenzhen Stock Exchange since late 2010.
As FountainVest expands its consumer portfolio in China through this acquisition, its controlling ownership of Jixiangju is also expected to help the company speed up its listing process.
Jixiangju has struggled to pull off its plan for an initial public offering (IPO) in mainland China. It had first hired China Renaissance in October 2020 for its pre-listing tutorials, targeting a public listing on Shenzhen’s tech-heavy, startup board ChiNext.
In early 2021, it shifted to Minsheng Securities for its listing preparation. But the latest progress report disclosed by Minsheng Securities in January 2026 on its guidance work for Jixiangju’s IPO attempt indicates that the company still faces challenges, such as shareholder and executive changes, undetermined use of IPO proceeds, and further improvements needed for its internal controls over financial reporting.
Founded in 2008, FountainVest has grown its PE platform to encompass six buyout and growth funds and various jointly managed investment programmes.
With multiple offices in Greater China and one each in Singapore and Frankfurt, Germany, the firm invests on behalf of limited partners, including sovereign wealth funds, pension plans, insurance firms, corporates, and large family offices.
