On January 27, 2026, before the market opened, ANTA SPORTS announced the acquisition of a 29% stake in Puma for 1.5 billion euros (approximately 12.3 billion Chinese Yuan), making it the largest shareholder of the globally renowned sportswear brand.
According to analysts, J.P. Morgan stated in its latest research report that this is a win-win transaction, maintaining an "Overweight" rating on ANTA with a target price of HKD 141.
J.P. Morgan believes the deal holds long-term strategic value for both parties, as Puma's global business footprint and specialized positioning in specific sport categories are highly complementary to ANTA. Puma can help enhance ANTA's market influence and brand recognition, while ANTA is expected to facilitate Puma's reshaping and regain momentum, particularly by unlocking its brand potential in the Chinese market.
The transaction offers long-term strategic value for both companies. Puma's global operational presence and its focused segmentation in sports categories are highly complementary to ANTA, which will help boost ANTA's influence and brand prestige in the global sporting goods market.
ANTA has consistently been committed to driving its multi-brand transformation, value reshaping, and high-quality growth in both the Chinese and global markets, with notable success. This experience is anticipated to promote Puma's own reshaping efforts and help it regain momentum, especially by tapping into its brand potential within the Chinese market—where Puma's sales contribution was only about 7% in the first half of 2025.
Puma's strength in specific categories (such as football, running, motorsports, and fitness) and its global footprint (particularly in Europe, Latin America, Africa, and India) create a highly complementary fit with ANTA.
The acquisition price is set at 35 euros per share, representing a 62% premium over Puma's recent closing price of 21.63 euros. This implies a valuation of 0.7 times the expected 2026 price-to-sales ratio, which is below the global sportswear company average of 2.9 times and the Chinese sportswear company average of 1.7 times. Considering Puma's brand equity, established mindshare in specific sports categories, and future prospects, J.P. Morgan views this as a relatively fair valuation.
The entire acquisition cost of 1.5 billion euros (approximately 12.3 billion Chinese Yuan) will be funded entirely from ANTA's internal resources. As of the first half of 2025, ANTA held net cash of 31.5 billion Chinese Yuan, alleviating investor concerns about the need for additional financing.
The transaction is subject to approvals from relevant authorities, including antitrust clearances from various jurisdictions. Management anticipates that, under normal circumstances, the process will take 6 to 10 months to complete.
During an analyst briefing, management clearly stated that the move aims to acquire a significant strategic minority stake. ANTA plans to seek full representation on Puma's Supervisory Board as soon as the deal is finalized, intending to work closely with other board members to help reshape Puma and fully unlock its brand potential.
Management does not expect the transaction to impact the 2025 dividend and aims to maintain a stable and healthy dividend payout in the future, contingent on free cash flow.
Investors should focus on two key aspects in the short term:
Regarding Puma's financial impact: consensus estimates indicate a projected loss of 195 million euros for 2026. Assuming the transaction proceeds as planned, J.P. Morgan estimates the potential impact on ANTA's 2026 net profit would be in the low single digits.
The timeline for Puma's reshaping remains a key focus for the market.