Former Houston Rockets star Yao Ming is currently looking to expand his wine business in the United States.
Wall Street Journal reported that Yao is inviting wine and basketball enthusiasts in the United States to own part of his Napa Valley winery. A person can own stakes for as little as $5,000. Yao family aims to raise $3 million through Crowdfunder, a website for entrepreneurs who wish to get fund support from fans. The funds collected will be used to construct a visitor center in Napa Valley as well as a tasting room in Yao's hometown in Shanghai, China.
Though Yao is from China, potential Chinese investors will be prevented from joining Yao's wine empire since United States citizens and permanent residents are the only ones allowed. Foreigners will have to abide by their own securities laws, which can be impractical for the small company.
Yao built Yao Family Wines in 2011, which became highly successful in China. Yao reported that he already garnered sales of $8 million around the world. However, the anti-corruption campaign initiated in Beijing reduced the demand for Yao's wines, so the 7'6" former Rockets center decided to set his sights on a U.S. expansion.
Winemaker Tom Hinde said in a report by CBS Local, "We have sold more premium Napa Valley wine in China than any other California winery. We see a market growing at 25 percent a year."
A video of Yao's sales pitch was also shown in the CBS Local report. Reportedly, two big investors already committed $250,000 each. There will also be benefits such as private dinners and exclusive event passes for people who purchase through Crowdfunder, depending on the value of the investment.
Canadian investor and TV personality Kevin O' Leary was asked by TMZ Sports about his thoughts on Yao Family Wines. He forwarded a few complements about Yao's wines but said that he would not invest in it. O'Leary said that he would rather spend his cash, energy and time on his own baby project, "O'Leary Fine Wines".
Kevin said in a video, "On April 26th on QVC, I'm gonna launch a wine that I made myself. This wine is nectar from the nipple of Aphrodite and it's gonna sell for under $100 a bottle."
Yao's wines are priced between $85 and $238 per bottle. Although affordable for many Americans, these are still out of the reach of ordinary Chinese buyers.
Check out this video by the Wall Street Journal some years back when the wines were launched.