Puma Buyout: China’s Anta Sports, Li Ning, And Japan’s Asics Reportedly Weigh Potential Bids

• France’s Pinault family, Puma's biggest shareholder, has been fielding interest over the past few months.
• Puma’s Frankfurt shares jumped 12% after the Bloomberg report about interest from Anta Sports, Li Ning, and Asics.
• The company’s market cap had declined by over 60% this year through Wednesday.

China’s Anta Sports Products and Li Ning Co., and Japan’s Asics Corp. are exploring bidding for a buyout of German sportswear giant Puma SE, Bloomberg reported on Thursday, citing people familiar with the matter.

The report sent Puma’s Frankfurt shares up 12% in the early afternoon local time. On Stocktwits, the retail sentiment for the company’s U.S.-listed shares, PUMSY, shifted to ‘bullish’ as of early Thursday, up from ‘neutral’ the previous day.

Deliberations are preliminary, and it’s unclear which suitors would proceed with bids, the report said. The valuation expectations of Puma’s biggest shareholder, France’s Pinault family, may represent a major hurdle to any transaction, it added.

The Pinault family’s interest in selling Puma was reported as early as August. The group owns a 29% stake in the company.

The news comes as Puma faces waning demand for its merchandise, amid intense competition from Adidas and Nike, as well as fast-growing brands such as On and Hoka.

Before Thursday’s rebound, Puma’s Frankfurt-listed stock had slumped 62% this year, trimming the company’s market capitalization to about 2.5 billion euros ($2.9 billion).

Puma has been trying to revive sales under a new chief executive and COO this year. The company reported net income of 281.6 million euros and sales of 8.8 billion euros last year, and last month announced plans to cut 900 more jobs and sharpen its focus on running, football, and training. 

For updates and corrections, email newsroom[at]stocktwits[dot]com.

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