Anta Sports looks to capitalize on two-child policy with King Kow
Select language to see a machine translation of this article. The original language of the Article is English and the translation is provided for your convenience.

Anta Sports looks to capitalize on two-child policy with King Kow

Leading Chinese sportswear company Anta Sports is looking to capitalize on the relaxation of China’s one-child policy through recent acquisition King Kow. The country has played havoc with its demography over the past few decades by restricting couples right to have more than one child. But a combination of factors, from humanitarian outcry to economic threats from a declining population of working age Chinese, has seen the government in Beijing reverse course. Now, select couples will be allowed to have a second child, if desired.

Anta Sports share price has risen by 45% so far this year


SOURCE: Yahoo Finance

Ding Shizhong, Anta’s chairman and CEO, said “with the introduction of the two-child policy by the Chinese government, the growth of the children’s wear market is widely expected to accelerate.” The company’s answer to this prediction is the acquisition of King Kow, a children’s clothing brand. Anta said that the deal did not “constitute a notifiable transaction”.

King Kow has 81 stores across mainland China, Hong Kong and Taiwan, giving Anta an immediate footprint in the region. This could be a boon, as it is not the only company that has been inspired by the policy change. Burberry, Armani and Gucci have all launched luxury children’s wear lines in the country, and domestic players are already expanding their children’s offerings.


Dominion holds Anta Sports in its Global Trends Luxury Fund.

If you would you like to receive the Newsfeeds daily, please click here to sign up now!

Help us make this Newsfeed better by rating this article. 1 star = Poor and 5 stars = Excellent
0.0/5 rating (0 votes)

The views expressed in this article are those of the author at the date of publication and not necessarily those of Dominion Fund Management Limited. The content of this article is not intended as investment advice and will not be updated after publication. Images, video, quotations from literature and any such material which may be subject to copyright is reproduced in whole or in part in this article on the basis of Fair use as applied to news reporting and journalistic comment on events.