The sportswear market in China is expected to grow by 18 percent per year until it reaches 149.1 billion yuan (€15.1bn-$21.9bn) in 2013. This estimate, formulated by ZOU Marketing of Shanghai, was included in a report by Credit Suisse Group on Peak Sport Products, a Chinese sportswear maker and distributor that is planning to go public on the Hong Kong stock exchange.
Peak Sport, known for its sponsorship of seven American NBA players, could raise as much as 1.9 billion Hong Kong dollars (€168.8m-$245.2m) by selling 419.58 million shares in the public offering, with the possibility of selling an additional 62.9 million if there is the demand. The price of the shares will be fixed on Sept. 22, and the company should be listed on Sept. 29. The proceeds will go to advertising and promotion, as well as expanding production and its sales network.
Last year, Peak Sport recorded sales of RMB 2 billion (€202.0m-$293.3m) and a profit of RMB 375.9 million (€38.0m-$55.1m). At the end of June, it had almost 5,670 stores, more than double the level of two and a half years ago.
