Amer Sports is in final negotiations regarding a merger with a consortium led by China’s Anta Sports, according to reports from Reuters and Bloomberg.
Anta on September 12 made an all-cash offer to acquire Amer Sports, the owner of Salomon, Arc’teryx, Suunto, Wilson, Louisville Slugger, Precor and a few other niche sports brands.
Anta partnered with FountainVest Partners, a Hong Kong private equity group, to offer €40 per share for Amer, representing a nearly 40 percent premium to the prior trading day’s closing price before the approach was made public. The offer values Amer at more than €4.6 billion (US$5.3 billion).
According to Reuters, Anta will take 58 percent of Amer Sports, according to a source. Other investors in the consortium include Chinese private equity firm Fountainvest Partners, which would take 21.3 percent, and Chip Wilson, founder of Lululemon, who would take a 20.6 percent stake. Chinese internet and gaming giant Tencent Holdings Ltd will serve as an investor in a Fountainvest investment vehicle, the source told Reuters.
The consortium will also assume around €1 billion in debt from Amer Sports, people familiar with the transaction said.
Citigroup is reportedly advising the consortium while Goldman Sachs is the advisor for Amer Sports.
