On October 15, “the first beauty clinic stock” Beauty Farm Medical and Health Industry Inc. (hereinafter referred to as “Beauty Farm”) announced that it will strategically acquire 100% of Shanghai Si Yan Li Industrial Co., Ltd. (“Si Yan Li”) for a total consideration of RMB 1.25 billion ($175 million).
According to public information, Si Yan Li, founded in 1996, is regarded as a benchmark brand in China’s high-end beauty service sector. As of June 30, 2025, it operated 163 premium beauty service centers and 19 medical aesthetic clinics across 48 major cities in China, with over 90% of its revenue coming from 20 first-tier and new first-tier cities.
Following the completion of this acquisition, Beauty Farm’s store network will rapidly expand to over 734 locations, while its direct membership base will exceed 200,000. Given the high geographical overlap between Beauty Farm and Si Yan Li’s store locations, the deal is expected to accelerate the integration and efficient allocation of medical resources within shared regions, driving a comprehensive upgrade in both medical aesthetics and sub-health medical services.
According to data from Frost & Sullivan, based on 2024 revenue figures, Si Yan Li ranked as the third-largest beauty service brand in China, with RMB 850 million ($119 million) in revenue and RMB 81 million ($15.4 million) in net profit (unaudited). The top two brands were Beauty Farm and Nai Rui Er.
Notably, in 2024, Beauty Farm acquired 70% of the core assets of Natural Beauty for RMB 350 million ($49 million). The latest acquisition of Si Yan Li means that within two years, the company has successfully brought the No. 2 and No. 3 brands in the industry under its umbrella — forming a “three-strong consolidation” pattern that reshapes the competitive landscape.
In the first half of 2025, Beauty Farm recorded revenue of RMB 1.46 billion ($204.9 million), up 28.2% year-on-year; a gross profit margin of 49.3%, up 2.3 percentage points; and net profit of RMB 170 million ($23.9 million), up 35.5% year-on-year. Among these, Natural Beauty’s adjusted net profit margin rose sharply from 6.5% in 2023 to 10.4%.
