[ET Net News Agency, 12 December 2018] HSBC Global Research hosted Anta Sports' (02020)
Suki Wong (IR Director) and Kenny Cheung (IR Manager) for a group conference call on 11
December 2018 in regards to their proposed takeover of Amer Sports.
The research house cited Anta saying that it can help Amer to develop the China market,
where Amer is only 15% of the size of Fila even with seven brands in the portfolio.
They also expect Chip Wilson, founder of Lululemon, to contribute to developing the
North America market.
With the deal, Anta believes Amer will get more flexibility for mid- to long-term
expansion. Anta plans to finance its 58% stake with cash and debt. It will take up EUR900m
loan to pay for its EUR1.5bn equity contribution to the consortium. As such, it plans to
reduce the dividend payout from the current 70% level.
HSBC maintained its "buy" rating on Anta, with a target price of HK$48.3. (KL)