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    China Trend Will Buy Japanese Sportswear

    2008/4/9 12:01:00 29

    China Will Buy Japanese Sportswear.

    Yesterday, China trend (Group) Co., Ltd. (hereinafter referred to as "China trend") announced that it plans to acquire Phenix Co., a Japanese clothing retailer.


    China said in its announcement that Phenix owns the global ownership of ski and outdoor apparel brand Phenix and the ownership of Kappa brand in Japan.

    The company expects to reach a final agreement on the proposed takeover paction by April 25th, but has not disclosed any more details.

    In October 2007, China moved $702 million through initial public offering (IPO) and listed on the Hongkong stock exchange.



    The trend of China was Li Ningzi company.

    In July 2005, Lining sold a 80% stake in Beijing Sports Development Co., Ltd., the predecessor of China's trend.

    Prior to that, Beijing has been responsible for the manufacture and distribution of Kappa in the mainland, but its exclusive rights expired at the end of 2007.

    Founded in 2002, Beijing was founded by Lining and is the sole agent of Kappa in mainland China and Macao.



    Lining acknowledges that the Kappa franchise agreement is only 5 years away. In the long run, Lining can not share the value-added effect on Kappa investment.

    However, during the second years when Lining quit, Morgan Stanley helped China to acquire all the rights and interests of Kappa in mainland China and Macao through the way of capital injection, so that China's trend was changed from the Kappa brand franchisee to the owner, and the company could develop its own brand strategy in mainland China and Macao.

    SRC

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