|Bid||70.45 x 1000|
|Ask||70.55 x 2900|
|Day's Range||69.45 - 71.25|
|52 Week Range||39.15 - 73.90|
|Beta (3Y Monthly)||0.02|
|PE Ratio (TTM)||45.69|
|Earnings Date||Oct 24, 2019|
|Forward Dividend & Yield||0.35 (0.49%)|
|1y Target Est||N/A|
“I didn’t realise until then that it was so many people.” Sebastien Kopp is sitting in his light-flooded showroom in Paris’s Marais district, recounting the moment, last November, that he realised his sneaker brand Veja had “made it”. It seems surprising, then, that Kopp wasn’t fully aware of the brand’s visibility.
All over Africa, in its clogged cities and fast-changing towns and villages, buildings are painted in Tecno blue and billboards offer the allure of the Tecno brand. From the Grand Marché in Mali’s capital, Bamako, to the business hub of Nairobi in Kenya, where entire 20-storey towers are slathered in the Tecno logo, aspirational Africans are being bombarded. Tecno is an Africa-specific brand created by Transsion, a Shenzhen-based handset manufacturer.
(Bloomberg) -- A scandal that has cast a pall over Gucci’s blockbuster turnaround is spreading as Italian fiscal authorities probe more than a dozen of the luxury brand’s current and former executives over an alleged tax-avoidance scheme.Gucci owner Kering SA agreed to pay 1.25 billion euros ($1.4 billion) in May this year to settle an investigation of the brand’s tax payments from 2011 to 2017. Italian authorities alleged that the luxury label funneled revenue through a Swiss logistics center to avoid paying higher rates in Italy.After the settlement, the country’s tax agency is broadening its focus to individual managers’ pay during that period, documents reviewed by Bloomberg show. In August, officials notified current and former executives that they were being investigated over salaries they received from companies in Switzerland for work done for Gucci in Milan, according to people familiar with the matter. The executives could owe tens of millions of euros in back taxes, said the people, asking not to be identified discussing a private matter.“Kering concluded a settlement with the Italian revenue agency that was announced on May 9, 2019,” Kering said in a statement. “There is nothing new in these allegations and there is nothing further to comment on.”Representatives for the Italian tax agency and the prosecutor’s office declined to comment.The tax scandal has shadowed Gucci, even as its parent company has become the luxury industry’s most vocal champion of ethical and environment causes. The Italian label has enjoyed a spectacular turnaround under Chief Executive Officer Marco Bizzarri, though growth has cooled in recent months.Kering, which last year relinquished control of German sportswear company Puma SE, has become increasingly dependent on Gucci for profits. On Wednesday it announced plans to launch an offering of bonds convertible into Puma shares for 500 million euros. Proceeds will be used for general corporate purposes, the French company said.Bizzarri is not included in the latest probe. The top executive settled a dispute over his taxes in 2017 under an amnesty program for repatriating earnings, according to people familiar with the situation. The earlier investigation also included his predecessor Patrizio di Marco, they said, though the former CEO has not settled.Bizzarri declined to comment. Di Marco didn’t respond to a written request for comment.Early StageThe tax authorities’ latest review is at an early stage and no criminal inquiries have been opened, the people said.The broadening scrutiny could spark new costs for Kering. Like soccer stars, Gucci executives sometimes negotiated their salaries net of tax. Some would be likely to seek compensation from the company for any back taxes and penalties before accepting a settlement, according to one of the people familiar with the situation.The original Italian investigation centered on business activities by a Kering subsidiary in Switzerland from 2011 through 2017, focusing on amounts that Gucci billed through a Swiss logistics center.The new inquiry comes as Italian authorities step up scrutiny of fashion brands’ international operations, checking to see whether they are paying enough taxes back home. It focuses on more than 80 million euros of salaries paid by another Kering subsidiary in Switzerland, Luxury Goods Services, and a shell company in Luxembourg called Castera that may have been subject to Italian taxes, one of the people said.Top Kering managers were directly involved in the decision to transfer executives to the Swiss arm although their activities remained principally in Milan, according to testimony cited in the documents reviewed by Bloomberg.(Updates with bond offering in seventh paragraph)To contact the reporters on this story: Robert Williams in Paris at firstname.lastname@example.org;Sonia Sirletti in Milan at email@example.comTo contact the editors responsible for this story: Eric Pfanner at firstname.lastname@example.org, ;Tommaso Ebhardt at email@example.com, Thomas MulierFor more articles like this, please visit us at bloomberg.com©2019 Bloomberg L.P.
Asian countries are looking for catalysts beyond China to drive their economies as the Sino-U.S. trade war forces Chinese demand for their exports to shrink. Luring foreign companies to their shores, finding ways to boost domestic consumption and scouring for alternate export markets are part of that policy mix as China's neighbours cope with flagging demand from the mainland, hitherto a large market for Asia in the regional supply chain. Malaysia set up a panel to fast-track investments to woo businesses, and said it approved more than $500 million in proposals this month.
Chinese footwear retailer Belle International has hired Bank of America Merill Lynch (BAML) to help prepare for a Hong Kong listing of its sportswear business this year, said people with direct knowledge of the matter. The firm aims for a valuation of at least HK$20 billion ($2.55 billion) to HK$25 billion for the unit, which distributes brands such as Nike and Adidas, said two of the people. The divestiture comes nearly two years after BAML advised a consortium led by Hillhouse Capital Group and CDH Investments to take Belle private in a $6.8 billion deal completed in July 2017, as traditional retailers battled online competition.
Sportswear group Puma gave a conservative forecast for 2019 on Thursday despite strong fourth-quarter sales helped by demand for its chunky RS-X shoes and Cali sneakers, sending its shares down more than 6 percent. Chief Executive Bjorn Gulden conceded that the new target was cautious, but also said: "When there is upside, we'll take it. Puma has been growing faster than its bigger German rival Adidas and market leader Nike, helped by savvy social media campaigns and partnerships with celebrities like singers Selena Gomez and Rihanna and rap mogul Jay-Z.