A Chinese company controlled by Li Ning plans to buy a controlling stake in Hong Kong-listed apparel group Bossini, with plans to expand the business in Mainland China.
A venture called Viva China will buy 1.09 billion shares in Bossini, paying just HK$46.6 million (US$6 million) for 66.6 percent of Bossini’s issued capital, effectively buying out the family interests of Bossini’s founder Law Ting-pong.
After that deal is concluded, the buyer is required under Hong Kong stock exchange rules to offer to buy out the remaining shareholders, which would lead to the company’s privatization. However, in a stock-exchange filing, Viva China said it intends to maintain the company’s listing.
“The Viva China board will work together with the existing management of the Bossini Group to rejuvenate the brand of Bossini with a younger image to appeal to younger generation in the PRC. It will also renovate the stores of Bossini to enhance its layout so as to create a more immersive retail experience to the customers and capture the minds of the young generation,” the company said in the filing.
