Puma shares surge 20% after Anta Sports buys stake for $1.8 billion

Shares of Puma surged as much as 20% Tuesday, after China’s Anta Sports said it would acquire a 29% stake in the German sportswear company from the Pinault family.

Anta will pay 1.5 billion euros ($1.78 billion), or 35 euros per share, to take a 29.06% stake in Puma and become the largest shareholder in the company.

The deal came as Puma has struggled to revive sales and follow through on a business overhaul after Arthur Hoeld, a former Adidas executive, took the reins last year.

Puma shares pared gains slightly after the open and were last trading up 16%.

The 1.5 billion-euro valuation appears “reasonable” compared to peer multiples in the sportswear sector, particularly given Puma’s current “loss-making status,” said Melinda Hu, China consumer analyst at Bernstein.

“Anta is essentially buying a brand with deep heritage and historically strong products at a distressed valuation,” Hu added.

The deal builds on Anta’s efforts to expand its foothold outside of China, where it has faced growing competition from the likes of Nike and Adidas.

By leveraging Puma’s heritage, Anta could diversify into a new product category and markets where it has not established a strong foothold, Hu said.

Anta has a track record of expanding global footprints by acquiring and revamping Western sports and lifestyle brands. In 2019, it led a consortium to acquire Amer Sports, whose portfolio features Wilson, Arc’teryx, Salomon and Atomic.

“Puma fills the mass-market athletic footwear and sports lifestyle gap — a segment positioned between Nike, Adidas and budget brands,” said Julia Zhu, partner and head of consumer retail at consultancy firm CIC.

Puma is strong in Europe and Latin America but weak in China and North America, which creates “minimal overlap and maximum synergy potential,” Zhu added.

With the Puma stake acquisition, “the group is expected to further enhance its presence and brand recognition in the global sorting goods market,” Anta said in a statement Tuesday.

Puma’s shares came under heavy pressure last year, falling nearly 50%, according to LSEG data, as U.S. President Donald Trump’s tariff policy rattled investors and retailers grew nervous that tariffs could hit consumer demand. It has fallen over 3% so far this year.

The company said last year that it planned to cut its product range, scale back discounts, improve marketing and slash 900 corporate jobs as part of a broader cost-cutting plan.

“This is not a takeover [as] Anta does not have full control and Puma remains an independent company with its own management,” Hu noted. Reuters reported Tuesday that Anta management team said they would speak to counterparts at Puma “first thing this morning.”

The Anta-Puma deal also came as global businesses increasingly reassess their risks and returns, in the face of technology disruptions, heightened geopolitical uncertainty, and industry consolidation.

“Companies will make bolder moves to double down on some parts of their global footprint and minimize exposure to less favorable parts,” according to a survey by Bain & Company released Tuesday. More than half of surveyed companies were preparing assets for sale in the coming years, Bain said, driven by the desire to sharpen business focus, free up cash, and capitalize on higher valuations in today’s market.

Global dealmaking activity has roared back into life since last year, with deal value surging 40% to $4.9 trillion, the second-highest deal value on record, according to Bain.

The consultancy expects global dealmaking momentum to sustain in 2026, citing easing geopolitical tensions and deeper capital pools as private equity and venture capital firms look to exit the growing backlog of assets.

Meanwhile, companies “urgently need to reinvent themselves to get out ahead of the big forces of technology disruption, a post-globalization economy, and shifting profit pools,” said Suzanne Kumar, executive vice president of Bain’s global M&A and Divestitures practice.