Category: PT

Vigor

In November 2012, Fosun Group acquired a 20 percent stake in Taiwan’s pastry maker Vigor Kobo for 77 million yuan ($12.26 million).

It was transferred to the Fosun Tourism Group in April 2018 (then 18.68% equity interests in Vigor Kobo Co., Ltd) at a consideration of HKD19,319,787 which was mutually agreed by both parties based on the quoted market price of Vigor.

Thomas Cook

In March 2015, Thomas Cook, one of the world’s leading global leisure travel groups and Fosun entered into a strategic partnership, in which Fosun to become a long term shareholder in Thomas Cook; Fosun has agreed to invest £91.8m for the issue of 73,135,777 new Thomas Cook ordinary shares, representing 5% of the Company’s existing issued ordinary share capital, and intends over time to purchase further Thomas Cook shares on the open market with a view to increasing its shareholding in Thomas Cook up to approximately 10% of the enlarged issued ordinary share capital.

In June 2015, Thomas Cook and Fosun said they are to launch their China JV (called Kuyi, 51% owned by Fosun and 49% by Thomas Cook).

On June, 2018, Fosun Tourism Group acquired 82,546,172 ordinary shares of Thomas Cook, representing approximately 5.37% equity interest in Thomas Cook, from Fosun International for a consideration of GBP89,562,597, which was determined based on the closing price of 25 June 2018.

Fosun Tourism Group later purchased additional shares of Thomas Cook and held in total 6.04% of the equity interest in Thomas Cook as of November 2018.

In June 2019, it was reported that Fosun is in talk to acquire Thomas Cook.

Shanghai Fanyou

In January 2016, Shanghai Fanyou acquired 100% of the equity interests in Beijing Xiuping at a total consideration of RMB1,230,000.

On 28 February 2017, Fosun Tourism Group acquired the entire equity interest in Shanghai Fanyou via Shanghai FTD at a consideration of RMB31,017,100, which was determined based on an independent valuation report of Shanghai Fanyou as of 31 July 2016 and fully settled on 11 May 2018.

Shanghai Miniversity, a company jointly owned by Fanyou (70%) and Mattel (30%), was established to focus on the provision of learning and playing club for children under the Miniversity brand, and our first Miniversity club was opened in February 2018 within Atlantis Sanya.

Atlantis Sanya

Atlantis Sanya is owned by Fosun Tourism Group, and managed by Kerzner, except for Tang Residence. Kerzner is a world-renowned manager of premium properties.

As remuneration for Kerzner ’s services, in respect of each operating year, we pay Kerzner (i) a base management fee in an amount equal to a percentage of gross revenue for such operating year; (ii) a marketing fee in an amount equal to a percentage of gross revenue for such operating year; and (iii) provided that the results of operation of such operating year meet certain thresholds, an incentive management fee in an amount equal to a percentage of the gross operating profit threshold plus a percentage of the gross operating profit in excess of the threshold.

In 2014, Hainan Atlantis commenced construction of Atlantis Sanya. Atlantis Sanya had its soft opening in February 2018 and officially opened in April 2018.

Planned tourism destination projects – Lijiang

Fosun Tourism Group plans to establish, manage and operate a tourism destination with a total GFA of approximately 350,000 square meters in Baisha town in Lijiang city, Yunnan province in southwestern China (the “Lijiang Project”).

The construction of the Lijiang Project is expected to be completed in stages starting from either late 2020 or early 2021 and achieve full completion in the following two to three years. The estimated cost expected to be incurred in the next few years for the Lijiang Project is approximately RMB2.4 billion, the majority of which is expected to be construction costs.

Planned tourism destination projects – Taicang

Fosun Tourism Group has entered into agreements on and fully paid up the prices of RMB2,245.0 million for the acquisitions of land use rights of land parcels of over 483,000 square meters in total in Taicang city, Jiangsu province in east-central China and plan to establish, manage and operate a tourism destination in Taicang city (the “Taicang Project”) .

The estimated cost to be incurred in the next few years for the Taicang Project is approximately RMB7.7 billion, the majority of which is expected to be construction costs.

References

[1] http://www.chinadaily.com.cn/business/2012-11/16/content_15936798.htm

[2] https://www.thomascookgroup.com/investors/insight_external_assest/150306-FINAL-Fosun-RNS.pdf

[3] https://www.marketscreener.com/FOSUN-INTERNATIONAL-LIMIT-6170582/news/Fosun-Forms-Joint-Venture-in-China-with-Thomas-Cook-20550671/

[4] https://www.telegraph.co.uk/business/2016/09/08/thomas-cook-eyes-affluent-chinese-with-fosun-tie-up/

[5] https://news.sky.com/story/thomas-cook-confirms-fosun-takeover-approach-11738803

[5] https://www1.hkexnews.hk/listedco/listconews/sehk/2018/1130/ltn20181130029.pdf

Developments & Improvements

China Developments

During 2015, Club Med opened three new resorts, including a new flagship skiing resort Val Thorens Sensations in the Alps region of France, 52 exceptional villas on the island of Finolhu in the Maldives and the four Trident resort in Dong’Ao Island in China which comes to complete the Dong’Ao five Trident Luxury space opened in 2014. In addition, the fourth resort in China has commenced business in Sanya in January 2016.

In line with Club Med’s development plan, China has become the second largest market after France in 2015, with the number of Chinese tourists increased by 29% year-on-year to 123,000.

In Fosun International 2016 annual report, it says the number of tourists in the Greater China Region recorded 200,000, which was 10 times more than such number at the time before Fosun’s investment in 2010.

In 2016, Club Med opened three new resorts, including Sanya, Beidahu (a skiing resort in Jilin) and Lake Paradise (in the vicinity of Sao Paulo in Brazil).

Therefore in 2016, Club Med has completed its 5-resorts plan with Yabuli, Guilin, Dongao, Sanya and Beidahu openings.

For 2017, Fosun reports that customers from Europe, the Middle East and Africa (EMEA), Americas and Asia increased by approximately 3.0%, 19.6% and 3.9%, respectively, compared to those in 2016.

In addition, Club Med has launched the new brand “Joyview”, offering premium excursion resorts in China. Club Med Joyview Changli Golden Coast and Club Med Joyview Anji opened in January 2018.

In 2018, In Greater China, the second market after France, the number of customers reached 243,000, +22% vs 2017.

In 2019, Club Med will open a Club Med Joyview near Beijing.

Other improvements (payments and mobile)

Club Med said its initiative in 2016 to include the ability to pay by WeChat in China is successful.

In 2017, Club Med signed a partnership with UnionPay International and adopted the UnionPay card. By partnering with UnionPay International, Club Med now offers to its Asian and particularly Chinese customers staying in its resorts in France, a new payment method to facilitate and secure their banking transactions abroad.

In 2018, mobile is becoming the key digital tool, generating over 50% of traffic.

Global developments and improvements

Club Med opened Club Med Grand Massif Samoëns Morillon Resort in the French Alps and Club Med Tomamu Resort in Hokkaido, Japan in December 2017.

In another statement, Club Med said in 2017 investment by Club Med’s real estate partners added more than €300 M.

Central America – In the Caribbean, in Turks and Caicos, Club Med Turquoise has undergone major renovation to become a 4 Trident resort. Located on Grace Bay, which CNN Travel and Trip Advisor voted the most beautiful beach in the world at the start of this year, the resort is mainly aimed at adults, couples and groups of friends.

Europe – In Sicily, in the magnificent location of historic Cefalù, Club Med is to inaugurate its first 5 Trident Exclusive Collection Mediterranean resort on June. Finally, a new mountain resort is to open in December 2018: Les Arcs Panorama[10] in the heart of Paradiski in the French Alps. This will be a 4 Trident, with an Exclusive Collection Space (5 Trident Space).

In 2019, Club Med will open a new 4 Tridents resort in l’Alpe d’Huez and the construction of two new mountains resorts is starting: in France new chalets-apartments in Grand Massif Samoens Morillon and in Canada in Quebec Charlevoix.

In 2019, Club Med will open a new Club Med Exclusive Collection resort, Michès Playa Esmeralda in the Dominican Republic. Also, the construction of two new resorts has started: one Club Med Exclusive Collection resort in the Seychelles on the island of Sainte-Anne and a seaside 4 Tridents resort in Spain, Marbella.

References

[1] http://corporate.clubmed/wp-content/uploads/2015/07/Press-release-Grand-Opening-Dongao-Island-2015-EN.pdf

[2] https://www1.hkexnews.hk/listedco/listconews/sehk/2016/0428/ltn20160428889.pdf

[3] https://www1.hkexnews.hk/listedco/listconews/sehk/2017/0420/ltn201704201608.pdf

[4] https://blog.clubmed.com.au/blog/tag/Club+Med+Beidahu

[5] https://www1.hkexnews.hk/listedco/listconews/sehk/2018/0426/ltn201804262072.pdf

[6] http://corporate.clubmed/wp-content/uploads/2019/03/Club-Med-Press-Release-2018-Business-overview-activity1.pdf

[7] http://corporate.clubmed/wp-content/uploads/2017/02/CP_Club-Med_Corporate_26-january-2017_ENG.pdf

[8] http://corporate.clubmed/wp-content/uploads/2017/08/Club-Med-signed-a-partnership-with-UnionPay-International-and-adopted-the-UnionPay-card.pdf

[9] http://corporate.clubmed/wp-content/uploads/2018/04/Press-Release-Club-Med-2017-Business-overview-result.pdf

[10] http://corporate.clubmed/wp-content/uploads/2018/12/Press-release-Inauguration-Club-Med-Les-Arcs-Panorama.pdf

Competitive Landscape – Companies

Nike and Adidas have been the unchallenged leaders in the China market for years. This can be explained by (1) their early entrance to the China market, (2) their higher ASPs than major domestic brands, and (3) significantly higher exposure in Tier 1 & 2 cities, where per-capita consumption power is higher than in the rest of China. Their dominating position is also in line with their global market share. [1]

Among domestic companies, Anta is the only local company that has enjoyed a notable market share gain over the past few years, and its position as the leading domestic sportswear company has been further deepened with the help of the Fila brand. Li Ning, once the leader among domestic companies, is still in the recovery stage, after the Company underwent a major management change in 2012-2014. 361 Degrees and Xtep are usually considered second-tier domestic brands. The market share of Xtep, however, has dropped due to its restructuring. [1]

Competitive Landscape – Brands

Generally, since the 2011 downturn, domestic companies have been struggling with various internal problems. The downturn was mainly due to inefficient channel management, leading to excessive inventories at the distributor level. At the same time, foreign companies took more market share by executing precise marketing strategies, offering superior products, and not being too aggressive in pricing. It took domestic companies years to regain their growth momentum, under various reform initiatives such as ramping up product designs, improving inventory monitoring systems and implementing radical changes in their management systems. [1]

Anta is a very rare domestic company that gained market share (in terms of retail sales value) over the past few years. However, Anta gained market share mainly because of Fila, an Italian brand which Anta acquired in 2009. The core Anta brand is also growing, albeit at a slower pace. Li Ning, Xtep and 361 Degrees have been somewhat flat over the past few years, but they are domestic brands that are doing relatively well. For smaller domestic brands, such as Erke and Peak, the market share loss is more serious. [1]

By and large, the market share of top five foreign brands, Nike, Adidas, New Balance, Skechers and Fila, increased rapidly. In contrast, the market share of the top five domestic brands, Anta, Li Ning, Xtep, 361 Degrees and Erke, modestly while other brands losing market shares fast. The market of China sportswear has become more concentrated. [1]

[1] http://www.chinastock.com.hk/ewebeditor/uploadfile/20180709142620143.pdf

The industry faced a downturn in 2011 and recovered in 2014. According to Euromonitor, the sportswear market achieved a CAGR of 12% between 2013 and 2017, and in 2017, the market size of sportswear in China reached RMB212.1 billion, accounting for 46% of the total sporting goods market[1].

According to Euromonitor’s latest report on China Sportswear, the 2018 market size is RMB264.8 billion. Meanwhile, US Sportswear, market size is USD117.1 billion in 2018, about 3 times larger (using 1USD = 6.9RMB). (Euromonitor[2]^,[3], screenshots)

The industry can be furthered categorized into Sports Apparel and Sports Footwear, which are sized at RMB116.2 billion (44%) and RMB148.6 billion (56%) respectively. Footwear is the faster growing category compared with apparel. (Euromonitor2, screenshots)

Both footwear and apparel can be further divided into three product types: performance, outdoor and sports-inspired. Sports-inspired products, especially footwear, have been the largest product category over the past few years. Sports-inspired products refer to products with elements of both fashion and sportswear. Typical examples include Nike’s Converse and Adidas Originals1^,2.

[1] http://www.chinastock.com.hk/ewebeditor/uploadfile/20180709142620143.pdf

[2] Euromonitor “Sportswear in China” COUNTRY REPORT | APR 2019

[3] Euromonitor “Sportswear in the US” COUNTRY REPORT | FEB 2019

Amer Sports Oyj is a Finland-based company engaged in the manufacture, sale and marketing of sports equipment, apparel and footwear to the sports equipment industry. The Company is organized into three business segments: Outdoor, Ball Sports and Fitness. Its products are marketed through such brands as Wilson, Salomon, Precor, Atomic, Suunto, Arc’teryx, Louisvillle Slugger, ENVE Composites, DeMarini, Peak Performance, Sports Tracker and Armada. The Company operates internationally in over 30 countries through a number of subsidiaries, notably Queenax. The Company’s main market areas are the Unites States, Europe and Japan[1].

Amer Sports’ net sales in 2018 were EUR 2,678.2 million (2017: EUR 2,574.6 million). Net sales increased by 7% in local currencies. Organic growth was 4%[2].

Amer brand portfolio

Wilson is the number one equipment brand across more sports than any other brand. The company’s core sports include tennis, baseball, basketball, American football, golf, volleyball, soccer, softball, badminton, and squash;

Salomon has created a vast range of revolutionary new concepts in bindings, boots, skis and apparel for both alpine and nordic skiing and brought innovative solutions to footwear, mountaineering, hiking, trail running, and many other sports;

Precor designs and builds premium commercial fitness equipment for workouts that feel smooth and natural.

Atomic manufactures products which are perfectly tailored for ski racers and freeskiers, crosscountry skiers and backcountry skiers, beginners and World Champions alike.

Suunto has been at the forefront of design and innovation for dive computers, instruments and sports watches used by adventure seekers all over the globe.

Arc’teryx is a technical high-performance outerwear and equipment company based in North Vancouver, Canada.

Louisville Slugger is the Official Bat of Major League Baseball (MLB) ® and the #1 bat in MLB. Since 1884, Louisville Slugger bats have been a part of every post season run, World Series Championship and the most historic moments of the game.

Located in Ogden, Utah, ENVE Composites is a manufacturer of handmade carbon fiber bicycle rims and components.

DeMarini is an American manufacturer of baseball bats and other sports equipment headquartered in Oregon, United States.

Peak Performance is a Sports Fashion brand founded in Åre, Sweden 1986.

Sports Tracker is the original sport and fitness application for running, cycling and every-day training.

Armada Skis is known as the athlete-focused ski brand with athlete-driven, design obsessed and technologically superior products. Armada is headquartered in Park City, Utah.

Acquisition & tender offer

In September 2018, Anta announced that, together with the private equity firm FountainVest Partners (“FountainVest”), it has submitted a non-binding preliminary indication of interest to Amer Sports Corporation (“Amer Sports”), a sporting goods company whose shares are listed on the official list of Nasdaq Helsinki Ltd., to acquire the entire share capital of Amer Sports at a cash consideration of EUR40.00 per share (the “Possible Acquisition”), subject to a number of conditions[3].

In December 2018, A consortium led by China’s Anta Sports (2020.HK) made an offer to acquire Finland’s Amer Sports (AMEAS.HE) in a deal that values the company at 4.6 billion euros ($5.23 billion). The consortium includes Tencent, FountainVest Partners and Anamered Investments, , which is owned by Canadian billionaire Chip Wilson, founder of yoga apparel company Lululemon Athletica Inc.[4]^,[5]

According to the proposal, (i) Anta will indirectly through Anta SPV own 57.95%, (ii) FV Fund will own 21.40% (and FountainVest SPV will indirectly, and Tencent will indirectly through Tencent SPV, in each case as a limited partner in FV Fund, respectively own 15.77% and 5.63%), and (iii) Anamered Investments will own 20.65% of the shares in the Offeror by way of equity contribution to the share capital of JVCo.29

The final result of the tender offer was announced on March 12, 2019. With the shares tendered in the offer representing approximately 94.98 percent of all the shares and votes in Amer Sports, Anta has satisfied all of the terms and conditions of the tender offer, which entitles the Chinese company to complete the purchase.[6]

To finance the acquisition, Anta entered launched syndication of a five-year €2.2bn (US$2.51bn) loan with Bank of China, Citigroup and JP Morgan as joint global coordinators[7].

[1] https://www.reuters.com/finance/stocks/companyProfile/AMEAS.HE

[2] https://s3-eu-west-1.amazonaws.com/amersports-wordpress-exove/uploads/20190207140601/Amer-Sports-Financial-Statements-2018.pdf

[3] https://www1.hkexnews.hk/listedco/listconews/sehk/2018/0912/ltn20180912023.pdf

[4] https://www.reuters.com/article/us-anta-m-a-amer/chinas-anta-sports-led-group-buying-finlands-amer-sports-for-5-2-billion-idUSKBN1O60VR

[5] https://www1.hkexnews.hk/listedco/listconews/sehk/2019/0204/ltn20190204723.pdf

[6] https://www1.hkexnews.hk/listedco/listconews/sehk/2019/0312/ltn20190312492.pdf

[7] https://www.reuters.com/article/anta-sports-kicks-off-china-ma/anta-sports-kicks-off-china-ma-idUSL3N1ZB31Z

Sprandi

In December 2015, it is reported that Anta has acquired Sprandi, a leading brand in Russia and east Europe[1]. The estimated consideration is “Tens of Million US$” in CGIS Research1, although “Payments for acquisition of interest in a subsidiary” in Anta’s 2015 cash flow statements is RMB26.3 million[2]. In Anta’s 2016 annual report, Sprandi China appears in Anta’s group structure with 85% owned Anta[3].

Number of SPRANDI stores in China stood at 104 at the end of 20186.

Descente JV

Founded in 1935 in Osaka, Japan, DESCENTE focuses on high-end sportswear, especially skiing, cross-training and running[4].

In 2016, Anta formed a joint venture with Descente Global Retail Limited (“DGR”), a subsidiary of Descente Ltd. (a company listed on the Tokyo Stock Exchange with stock code 8114) (“Descente Japan”), ITOCHU Textile (China) Co., Ltd. (“ITOCHU”), a subsidiary of ITOCHU Corporation (a company listed on the Tokyo Stock Exchange with stock code 8001), (ITOCHU, together with Anta and DGR, the “JV Parties”) and Descente Japan in relation to the proposed formation of a joint venture group (the “JV Group”) to operate and engage in the business of design, sale and distribution of all categories of products (the “Business”) bearing the “Descente” trade marks in the People’s Republic of China (excluding Hong Kong and Macau) (the “Territory”) on an exclusive basis. Anta, DGR and ITOCHU’s interest in the JV Group is proposed to be 60%, 30% and 10%, respectively. The total initial capital injection into the JV Group is proposed to be Renminbi 250 million and each of the JV Parties will inject the capital into the JV Group in proportion to its interest in the JV Group , respectively[5]^,[6].

The first Descente China store opened in August 2016 in Changchun, Jilin[7]. By the end of 2016, Descente has opened 6 store in mainland China16.

Anta argued in its 2016 annual report that since 2000, China has increased its number of ski resorts more than ten-fold to nearly 600 in 2015, with approximately 13 million skier visits. Winter sports in China would be on track for major boost from the 2022 Beijing Winter Olympics. The Chinese government also aggressively promotes winter sports and targets to increase the number of winter sports participants to 300 million skier visits in the future16.

Number of DESCENTE stores in China stood at 117 at the end of 20186.

Kolon Sport

Founded in 1973, KOLON SPORT promoted an outdoors lifestyle. Kolon Sport first entered the Chinese market in 2006 and currently operates 214 stores in China as of Dec. 2016. The company has posted a double digit sales growth in the last three years[8].

In February 2017, Anta entered into the agreement to form a 50/50 joint venture company with Kolon Group to operate KOLON SPORT in China, Hong Kong, Macao and Taiwan21. The JV formation completed in September 2017 and KOLON SPORT Holdings appeared as a 50% subsidiary in Anta’s group structure in its 2017 annual report5.

Anta has been closing Kolon Sport store since the JV formation, with 181 standing by the end of 2018 (33 store closed in 2 years)6.

KINGKOW

Founded in 1998, KINGKOW provides quality kidswear to 0 to 14 kids in mid- to high-end market. As at the end of September 2017, KingKow had 81 stores in mainland China, Hong Kong, Taiwan and the United States.[9]^,[10].

The acquisition price is said to be around HKD60 million[11].

Total number of KINGKOW’s stores decreased 4 by the end of 2018 (77 in total)6.

[1] http://www.cggthinktank.com/2015-12-24/100074922.html

[2] https://www.todayir.com/webcasting/anta_15ar/ann.pdf

[3] https://www1.hkexnews.hk/listedco/listconews/sehk/2017/0302/ltn201703021344.pdf

[4] http://www.files.services/files/394/2019/0226/20190304161737_36877020_en.pdf

[5] https://www1.hkexnews.hk/listedco/listconews/sehk/2016/0223/ltn20160223097.pdf

[6] https://www.itochu.co.jp/en/news/press/2016/160223.html

[7] http://ir.anta.com/en/news_detail.php?id=39757

[8] http://www.businesskorea.co.kr/news/articleView.html?idxno=17372

[9] http://ir.anta.com/en/news_detail.php?id=38696

[10] https://cn.reuters.com/article/anta-kingkow-ma-idCNKBS1CP07J

[11] https://36kr.com/p/5090471

FILA brand was originally founded by FILA brothers in Biella, Italy in 1911, and was acquired by FILA Korea in 2007 in a USD400m LBO. FILA Luxembourg, a wholly owned subsidiary of FILA Korea, is the trademark owner[1]^,[2].

BeLLE acquired the Fila Business (85% interest in Full Prospect and 100% interest in HK Retail Co) in the second half of 2007 through setting up Full Prospect (being a 85:15 joint venture with FILA Luxembourg) which owns the Fila PRC Trademarks, with a view to strengthening its market position. However, it transpires that the specific skill set and experience required to develop an international sports brand in China are different from BeLLE’s experience in developing footwear brands and managing sportswear distribution network in the PRC. The Group considers unlikely that its objectives can be achieved in short period of time. This problem is further aggravated by the current weak economic conditions. Hence, BeLLE decided to dispose the Fila Business (i.e. its 85% interest in Full Prospect and 100% interest in HK Retail Co) and focus on developing and strengthening its own footwear business. The pricing for the disposal of Fila Business is determined after taking into account: (i) the original value of Fila PRC Trademarks at the time of BeLLE’s acquisition in 2007 (being the RMB equivalent of US$48 million) and (ii) the net asset value as of the date of completion of Full Prospect and HK Retail Co respectively. In contemplation of the disposal of the Fila Business, BeLLE is also in discussion with third party distributor(s) nominated by Anta for the transfer to them the operation of the stores and department store concessions in the PRC engaging in the Fila Business. It is expected that these stores will be transferred to such third party distributor(s)[3].

The deal price was signed as RMB332 million, plus a loan to pay down any outstanding loans and payable owned to Belle11.

Total considerations paid by Anta were RMB424.9 million and HKD32.3 million, including debts and other obligations of Fila Business[4].

Notes: [5]

• Company = ANTA Sports Products Limited, the listed company
• Full Prospect (IP) holds the Fila PRC Trademarks
• Speed Benefit is responsible for sourcing Fila products bearing Fila PRC Trademarks
• Fila PRC Limited is responsible for marketing of Fila products bearing Fila PRC Trademarks in the PRC
• Fila Marketing is responsible for distribution of Fila products bearing Fila PRC Trademarks in Hong Kong
• Fila (Macao) Limited is responsible for distribution of Fila products bearing Fila PRC Trademarks in Macau

Anta’s Board considers that the acquisition and operation of the Hong Kong and Macau operations of Fila Marketing will be strategically important for the development of the reputation of the “Fila” brand in the PRC. Given the strategic importance of the “Fila” retail stores in Hong Kong and Macau for the development of reputation of the brand in the PRC market, Anta intends to operate the “Fila” branded stores in Hong Kong and Macau itself following Completion and therefore entered into the Fila Marketing SPA. Upon Completion, Motive Force intends to enter into the Assignment and Assumption Agreement at the request of Belle and in order to assume Belle’s rights and obligations under the Assigned Documents as part of the arrangements for the Acquisitions, including contributing 3% of Full Prospect’s wholesale revenue as Design Service Fee to FILA Korea10^,13.

Anta’s FILA Expansion

FILA’s kidswear brand, FILA KIDS was set up in 2015, aims to provide high-end apparel and footwear for children aged 3 to 126.

FILA officially launched FILA FUSION in 2018, targeting the youth market aged 20-306.

Number of FILA stores (including FILA KIDS and FILA FUSION standalone stores) in China, Hong Kong, Macao and Singapore stood at 1,652 by the end of 2018, up from 1,086 by the end of 2017. By the end of 2019, the management expects the total number of FILA stores (including FILA KIDS and FILA FUSION standalone stores) in China, Hong Kong, Macao and Singapore to reach 1,800-1,9006.

[1] https://www.businesswire.com/news/home/20070330005505/en/Fila-Korea-Closes-Acquisition-Fila

[2] http://info.fila.co.kr/ir/ENG/DATA/2019_1Q_IR_Material.pdf

[3] http://www.belleintl.com/uploads/2014/08/211659229553.pdf

[4] https://www1.hkexnews.hk/listedco/listconews/sehk/2009/0930/ltn20090930522_c.pdf

[5] https://www1.hkexnews.hk/listedco/listconews/sehk/2009/0812/ltn20090812546.pdf