Anta Sports and Li Ning Explore Puma Takeover Amidst Share Drop

Chinese sports apparel giant Anta Sports Products Ltd. is reportedly among several firms evaluating a potential takeover of German sportswear brand Puma SE. According to sources familiar with the private information, Hong Kong-listed Anta has engaged an adviser to assess a bid for Puma and may consider partnering with a private equity firm should it decide to proceed with an offer.

Anta Sports, which boasts a market value of nearly $31 billion and owns prominent brands such as Fila and Jack Wolfskin, has a history of strategic acquisitions. In 2019, an Anta-led consortium, including Asian buyout firm FountainVest Partners, successfully acquired Amer Sports – owner of brands like Salomon and Arc’teryx – for $5.2 billion, demonstrating its capacity for major international expansion.

Beyond Anta, rival Chinese apparel firm Li Ning Co. is also exploring the possibility of a bid for Puma. Named after its legendary gymnast founder, Li Ning has reportedly been discussing financing options with banks as it conducts an initial review of Puma. However, in response to a Bloomberg News query, Li Ning issued a statement asserting its focus remains on the growth of its own brand, denying any "substantive" negotiations or evaluations concerning Puma. Li Ning currently holds a market value of almost $6 billion.

Further interest in Puma could also emerge from other sportswear companies, including Japan’s Asics Corp. However, all deliberations remain preliminary, and it is uncertain which suitors will ultimately put forth formal bids. A significant obstacle to any potential transaction could be the valuation expectations of Puma’s largest shareholder, France’s billionaire Pinault family.

Puma's shares have experienced a substantial drop of 62% in Frankfurt this year, bringing the company's market value to approximately €2.5 billion ($2.9 billion). The Pinault family’s Artémis holding company held 29% of Puma at the close of last year. François-Henri Pinault, managing partner at Artémis, stated in September that while the Puma stake is "interesting," it is "not strategic," indicating that options regarding the holding are being kept open. The German firm has been undergoing a revamp under new Chief Executive Officer Arthur Hoeld and recently appointed ex-Adidas executive Andreas Hubert as chief operating officer, following years of struggling to generate consumer enthusiasm for its products.

Representatives for Anta did not respond to requests for comment, while Artémis, Asics, and Puma representatives declined to comment on the matter, underscoring the early and sensitive nature of these potential acquisition discussions.