After The Acquisition Of Amamfin, Anta Has To Go Back To Blood Through Selling Assets.

After the acquisition of amamin sports, Anta Sports Products Limited (hereinafter referred to as Anta) has a high debt rating. It seems a bit "hurt the strength", and Anta announced that it would sell part of the stock of amamin sports. Recently, there is news that Anta is considering selling its fitness equipment brand Precor, the price may be around 500 million dollars. Analysis of the industry, the sale of assets can not only reduce the debt ratio of Anta, but also help Anta peel off non core businesses.

In response to the news of the sale, the Chinese Commercial Daily reporter tried to interview the relevant person in charge of Anta, but Anta did not reply.

Bloomberg, an international financial information company, quoted a person familiar with the matter as saying that the sale process of the "yes" can start as early as next year, and that the deliberations are still in its early stage, and it is uncertain whether an agreement will be reached. At present, many companies and private equity funds have shown some interest in the acquisition. GymSquare, a fitness vertical media, says that China's local fitness equipment company Shuhua sports is also one of potential buyers.

In addition to the intention to sell, Anta announced in November 12th this year that the company will sell 5.2517% of the shares of amamin sports at a price of HK $1 billion 198 million.

In November 19th, Anta announced that it indirectly sold part of amaman's sports rights and interests, and expected to earn 4 million 852 thousand euros. At present, Anta's acquisition of amamfin sports has not yet been completed. The final price determination and the proceeds will be reflected in this year's annual report.

Why does Anta sell assets frequently? Textile and clothing brand management expert, general manager of Shanghai Liang Qi Brand Management Co., Ltd., Cheng Wei hung, said that Anta hopes to get more cash flow by selling non core assets or part of shares, so as to cope with the winter of the market.

Anta's interim report this year showed that Anta's debt ratio rose from 6% last year to 22.8%, mainly due to a large increase in bank loans. The loan amount increased from HK $1 billion 236 million to HK $7 billion 568 million. Loans were mainly used to acquire amamin sports.

Liu Liang, a clothing industry expert, told the China Commercial Daily reporter that the sale of Anta will not only enable Anta to "return blood" quickly, but also allow Anta to gradually peel off its non core businesses and focus on the development of core businesses. He believes that for Anta, there is a big difference between fitness equipment market and sportswear market. They may not share the same operation mode and channel. Anta is now committed to integrate multiple brands, so that its brand can play a synergistic effect. Stripping off fitness equipment business is a pragmatic move for Anta to integrate its brand assets.