Shares of MINISO Group plummeted by 14.89% on Monday morning, following the company's announcement that it will acquire a 29.4% stake in Chinese retailer Yonghui Superstores for around $893 million.

MINISO, a global retailer of trendy lifestyle products, plans to purchase the shares from units of DFI Retail Group and JD.com, paying a premium of 3.1% over Yonghui's stock price as of September 20. The acquisition will make MINISO the largest single shareholder in Yonghui, a major Chinese supermarket chain.

While the move is aimed at expanding MINISO's presence in the Chinese retail market, investors appear concerned about the significant cost and potential risks associated with the large acquisition. The sharp drop in MINISO's stock price suggests that investors are skeptical about the company's ability to successfully integrate Yonghui's business and generate sufficient returns to justify the substantial investment.