Amedeo Testoni Goes to Viva China Holdings controlled by Li Ning in A 50 Million HKD Deal
November 5,2021
On November 3rd, Viva China Holdings (thereafter referred to as “Viva China”, SEHK:08032), a company controlled by Li Ning, announced that it would purchase the entire issued share capital of Sitoy AT Holdings Company Limited (thereafter referred to as “Sitoy AT”) from Sitoy Group Holdings Ltd. (thereafter referred to as “Sitoy”) at 50 million HKD through Ample Fame Investments Limited, a wholly-owned subsidiary of Viva China.
Founded in 2009, chairman and CEO of this HK-headquartered company is Mr. Li Ning, who is also the largest shareholder (around 13.30%) of his namesake sportswear company Li Ning Company Limited (SEHK:2331). Its principal business includes the operation of “Multi-brand Footwear and Apparel Consumables”, as well as the operation of “Sports Experience” which involves sports destination, sports event and the management, service providing, and investment of an E-Sports Team.
Sitoy AT Holdings Co. Ltd. Owned the Italian luxury leatherware and apparel brand Amedeo Testoni (formerly known as “a.testoni”) and its diffusion line i29.
In November 2018, Sitoy took over 95.35% of a.testoni S.p.A’s share capital (with Amedeo Testoni and i29) at around 14.535 million euros. Before the purchase, Sitoy had already acted as Amedeo Testoni partner of distribution in Greater China.
Statistics revealed that before the deal was concluded, a.testoni S.p.A’s annual revenue was about 30 million euros in 2017. Its quarterly losses were 780,000, 7.23 million and 750,000 euros in 2016, 2017 and 2018 respectively.
Founded in 1929, in Bologna, Italy, the brand was formerly a studio named after its founder Amedeo Testoni. The founder’s daughter Marisa Testoni took over as creative director since 1949 up till mid-21st century. In early 2018, the brand started to expand its retail market in mainland China. According to the latest statistics on its official website, Amedeo Testoni has in total four physical stores in Beijing, Hangzhou, Xi’an and Changchun and three outlets in Beijing, Shenyang and Shanghai.
i29, owned by Amedeo Testoni, was introduced into China in 2018, targeting the Chinese millennials consumers.
Viva China said that, though acquiring the brand at a discount, they believed that the management team of consume goods department and the group can make it profitable again.
In December 2020, Viva China took control of British shoemaker Clarks via LionRock Capital whose majority interest was subscribed by Viva China. Within less than a year, Li Ning struck another acquisition deal with Amedeo Testoni on the international market. Li Ning himself is a non-executive chair of LionRock Capital.
In May 2021, Dragon Leap Developments Limited, another Viva China’s subsidiary, purchased 66.6% of share capital at 46.62 million HKD from a casual wear brand, BOSSINI.
| Photo Credit: Amedeo Testoni
| Writer: Ruoyu Zhu
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