Nike eyes takeover of sportswear rival Umbro
Sunday, 21 October 2007
LONDON, Oct 20 (AFP): British sportswear firm Umbro, which supplies kit for the England football team, is being targeted by US giant Nike, press reports said Friday.
Umbro, which said Thursday it had been approached with a view to a bid by an unnamed company, also supplies playing kit for English first division clubs Wigan Athletic, Blackburn Rovers, Birmingham City, West Ham, Sunderland and Everton.
Nike in turn supplies Arsenal and Manchester United.
Analysts said they were surprised that Umbro would get an offer now, having reported only modest results last month due to poor sales of England jerseys over the summer months.
Umbro shares jumped 27.50 per cent on the news Thursday and added another 11.76 per cent to 171 pence by midday Friday, giving the company a market value of some 250 million pounds (US$510 million, 350 million euros).
Umbro, which said Thursday it had been approached with a view to a bid by an unnamed company, also supplies playing kit for English first division clubs Wigan Athletic, Blackburn Rovers, Birmingham City, West Ham, Sunderland and Everton.
Nike in turn supplies Arsenal and Manchester United.
Analysts said they were surprised that Umbro would get an offer now, having reported only modest results last month due to poor sales of England jerseys over the summer months.
Umbro shares jumped 27.50 per cent on the news Thursday and added another 11.76 per cent to 171 pence by midday Friday, giving the company a market value of some 250 million pounds (US$510 million, 350 million euros).