Puma shares soar as China's Anta Sports reportedly exploring takeover bid

Chinese sportswear maker Anta Sports Products, which owns brands like Fila and Jack Wolfskin, is considering a takeover of Germany’s Puma, Bloomberg reports. According to its sources, the Chinese company is working with a consultant to evaluate a potential purchase and may team up with a private equity firm for the deal.

Puma shares are up 16% in German trading against the backdrop of the story. At the same time, they are still down more than 60% year to date. Quotes of Anta Sports in Hong Kong have added 1.7%.

There are other contenders for the German manufacturer, including Chinese sportswear group Li Ning, which is discussing financing options with banks, Bloomberg mentioned. Japanese ASICS may also show interest. All discussions are preliminary, and it is still unclear who will submit a bid, the sources said.

Puma’s largest shareholder – the holding company Artemis, which is owned by France’s billionaire Pinault family and also controls Gucci's parent Kering – has previously said it was considering all options for its 29% stake. Although a Reuters source said in September that Artemis did not want to sell at the market price at that time, the Pinault family’s valuation expectations could be a major obstacle to any deal, Bloomberg’s sources said. Puma’s current market capitalization is EUR2.5 billion.

Anta Sports and ASICS did not immediately respond to Reuters’ requests for comment. Li Ning told Reuters in an e-mailed statement that it “has not engaged in any substantive negotiations or evaluations regarding the transaction mentioned in the news.” Puma declined to comment.