The Sportlifestyle company PUMA AG today announces that it has signed a shareholders’ agreement with its current licensee, Hong Kong-based Swire Pacific covering the Hong Kong and China markets. Based on an early termination of the existing long-term license agreement, the joint venture will become effective on January 1st 2006, with PUMA as the majority shareholder.
The aim of this partnership is to jointly explore the tremendous potential of the PUMA brand with its high brand awareness in the critical China market as well as to further enhance its already solid position in Hong Kong.
Jochen Zeitz, CEO and Chairman of PUMA AG: “Swire Pacific has successfully gained initial traction for PUMA in its markets and they possess very valuable market know-how that, combined with our knowledge, will allow us to further accelerate our rapid expansion in this highly important area. Our goal is to at least quadruple sales in the next 5 years and to firmly establish PUMA in the top 3 of the industry’s global brands in China.”
Christopher Pratt, Executive Director of Swire Pacific’s Trading and Industrial Division: “This is a very exciting development. PUMA is a leading edge Sportlifestyle brand which has seen remarkable global growth in the past years. The new venture has set ambitious targets for growth in the China market in the coming years and I have every confidence they will be achieved.”