Yeah Gelato secures first outside investment

Chinese gelato chain Yeah Gelato has secured its first external investment since its founding 15 years ago, as the fast-growing brand looks to accelerate expansion and strengthen its supply chain amid intensifying competition in the country's premium ice cream market.

The company announced on Friday that it had entered into a strategic partnership with BA Capital, marking its maiden funding round. Financial terms of the deal were not disclosed.

Yeah Gelato said the proceeds will be used to strengthen its supply chain, enhance brand operations, expand its store network and explore overseas expansion.

Founder Cui Jianwei said, "We wanted a partner who truly understands who we are and what we stand for. BA Capital has deep experience in consumer investing and shares our philosophy on products and brand building, which is the foundation of this partnership."

Founded in Beijing in 2011, Yeah Gelato has grown into one of China's largest gelato chains, operating more than 1,800 stores as of Oct 30. Earlier this year, the company introduced its "Oriental Gelato" positioning, seeking to differentiate itself by incorporating Chinese flavors and ingredients into Italian-style gelato.

BA Capital has built a strong track record in China's consumer sector, with investments in brands including Pop Mart, Heytea and Laopu Gold.

He Yu, managing partner of BA Capital, said the firm sees gelato as a category with significant long-term and global growth potential.