Puma share price boosted by Adidas merger speculation

Puma's shares, which have struggled this year, received a further boost on Tuesday from speculation about a possible merger with Adidas. The shares had already gained some ground the previous day after an investor suggested a merger in an interview on Friday. Now the debate has widened. Puma's share price rose by 4.2 percent, reaching its highest level in almost two weeks. Adidas shares, on the other hand, fell by one percent in the DAX.

Roy Adams, co-founder of the US investment firm Metronuclear, raised the idea on Friday in the "Handelsblatt", arguing that better treatment of minority shareholders was needed. Puma's share price has already lost more than half its value this year. At its peak in mid-August, the share price had fallen by more than 60 percent.

An analyst at DZ Bank has now taken a position, mentioning the shared history of the two companies, which stems from a dispute between brothers. At first glance, this "seems to have a certain charm", wrote expert Thomas Maul. However, he does not see a shared future for the two companies. On closer inspection, there is no need for Adidas to abandon its focus on organic growth and take on cannibalisation and integration risks with an additional brand.

Groupe Artemis, the Pinault family's holding company, could also play a role in the future of the sportswear manufacturer with its Puma stake. Maul pointed out that François-Henri Pinault recently said at the annual general meeting of the luxury goods group Kering that he was keeping all options open.

Former Adidas executive board member Arthur Höld has taken over as CEO of Puma since July 1. He intends to take his time until the end of October to develop a detailed strategy.

This article was translated to English using an AI tool.

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