Hong Kong’s vibrant food and beverage landscape lost a foundational figure this week with the passing of Chan Wing-on, the revered founder and longtime leader of Tai Hing Group Holdings (6811), who died on Monday at age 66. The publicly traded restaurant empire, a staple of Hong Kong dining, announced the immediate transition of leadership on Tuesday, appointing Chan’s son, Chan Ka-keung, as the new board chairman to steer the company’s strategic growth following his father’s 36-year legacy.
Chan Wing-on’s crucial contributions to the group’s success began in 1989 when he co-founded the first Tai Hing restaurant in Sai Wan Ho. This initial venture carved a lucrative niche by focusing on quality, freshly prepared roast meats delivered in a quick-service format. Under his guidance, the brand transcended its local origins, multiplying into a regional powerhouse. By mid-2024, the group operated a substantial portfolio of 217 restaurants across Hong Kong, Macau, and mainland China, managing popular chains including TeaWood, Asam Chicken Rice, and Men Wah Bing Teng.
Legacy Built on Vision and Decisive Leadership
In a tribute released Monday, Tai Hing praised its late chairman for his “exceptional vision and decisive leadership,” acknowledging his “valuable and significant” role in the firm’s trajectory. As both the controlling shareholder and the chairman overseeing key committees, including nomination and remuneration, Chan Wing-on’s influence shaped the company’s operational philosophy. His death marks a significant moment for the approximately HK$1 billion market capitalization company, though the management team has affirmed its commitment to executing the existing board strategy focused on prudent operations and sustainable development.
Chan Wing-on and related parties hold a substantial share of the company, accounting for approximately 56% of its stock. The board extended its deepest sympathies to the Chan family while assuring continuity in management.
Rapid Succession Ensures Stability
To maintain stability and governance, the company swiftly implemented a succession plan. Effective immediately, Chan’s son, Chan Ka-keung, has taken over three pivotal roles: chairman of the board, chair of the nomination committee, and a member of the remuneration committee. His move into the top executive role follows his appointment as an executive director earlier this year, signaling a planned transition.
Further strengthening the new executive structure, Chan’s cousin and incumbent executive director, Chan Shuk-fong, was named vice-chair of the board. This restructured leadership team is tasked with continuing the group’s strong momentum.
Financial Performance Highlights Strength
The transition occurs as Tai Hing Group demonstrates robust financial health, underscoring the foundation built under Chan Wing-on. For the six months ending in June, the company reported a revenue increase of 6.2% year-on-year, reaching HK$1.712 billion. More impressively, net profit saw a significant surge, multiplying 2.8 times to HK$40.813 million.
Despite a frequently challenging consumer environment in the region, the group maintained an impressive gross profit margin of 73.4%, a testament to its operational efficiency and brand resilience. The incoming leadership, supported by the veteran executive team, is expected to leverage this operational prowess to sustain growth and solidify Tai Hing’s status as a key player in Asia’s competitive dining sector.