It was learned from the official website of Umbro that the American brand management company Iconix Brand Group Inc (Iconix) has reached an agreement with the investment company HK Qiaodan Investment (Hong Kong Qiaodan Investment Co., Ltd.) to sell its sports brand Umbro in China. business.
It is reported that this transaction includes all Umbro China equity owned by Iconis and Umbro’s brand intellectual property rights in China, which will bring USD 62.5 million in cash income to Iconis. . The transaction is expected to close on September 15, 2020.
Once a “green” sweetheart, her fate took a turn for the worse
Birth Founded in 1924 by the British Humphries brothers, UMBRO was once one of the most dazzling sports brands on the field. The two brothers combined the five English letters in their English name (HUMPHREY BROTHERS) to form the word UMBRO, and then added a diamond double rhombus pattern to become the registered trademark of UMBRO today.
In the past, Umbro’s status on the football field was no less than that of Adidas and Nike. England legends Alan Shearer and Michael Owen have both been Umbro’s image spokespersons.
Since 1958, five-star Brazil has won the World Cup for the first four times, all wearing Umbro jerseys. When England won the World Cup for the only time in 1966, they also wore Umbro jerseys. Of the 16 teams that qualified for the 1966 World Cup, 15 wore Umbro jerseys (with the exception of the former Soviet Union). At that time, 85% of British football club jerseys were sponsored by Umbro.
Since 1995, the Champions League trophy has been brought to Amsterdam by a group of Ajax players wearing Umbro jerseys. By 1999, the Manchester United team wearing Umbro jerseys won the Triple Crown, and Umbro’s dominance on the green field also underwent subtle changes over time.
In 1996, the Brazilian team, which had cooperated with Umbro for decades, was pried away by Nike, which started out with basketball and running shoes. In 2002, Manchester United was even more Being included in the Nike camp. Adidas took away Ajax and Chelsea from Umbro in 2000 and 2006 respectively. Until 2008, Umbro, which was gradually declining, was acquired by Nike for 285 million pounds. The glory of the once green and wealthy family has gradually faded.
Acquired by Nike for four years The core value has been drained out
The two giants of sports brands, Nike and Adidas, the former’s product appeal focuses more on basketball, while the latter has long-term strong resources in the football field. Nike originally acquired Umbro to fill the gap between itself and Adidas in football. In the four years since being acquired by Nike, Nike has gradually penetrated its sponsorship and promotion into the field of football. After experiencing the test of the two top events of the European Cup and World Cup, NIKE has already competed with Adidas in the field of football. confidence. For sports brands, product development technology and sponsorship resources are the two most core values. In the four years since Nike took over Umbro, it has taken all the above-mentioned high-quality resources into its pocket, leaving only those that are still depreciating. Umbro brand.
As a result, Umbro’s fate of being sold off is irreversible. In 2012, Nike announced the sale of its brand Umbro to Iconis Brand Group for US$225 million. Later, Iconis acquired 50% of Umbro China’s equity from Novel Fashion Brands Limited, Umbro’s partner in China, for US$56.4 million, achieving full control of Umbro China.
The historical glory is difficult to continue after changing hands again
Iconis Brand Management The group (Iconix Brand Group, Inc.) was established in 1992. It owns a series of fashion, sports, home textile and animation brands, and its business covers all areas of luxury goods and mass market retail distribution. Iconix Brand Group, Inc. licenses brands to leading retailers and manufacturers around the world and focuses on creative advertising and brand promotion. Its extensive channels cover more than 1,600 retailers and more than 30,000 stores in the luxury and mass consumer markets, with annual sales of nearly US$13.5 billion. It owns more than 30 brands including Snoopy, Candies, Starter, Ed Hardy, Mossimo, Ecko, Lee Cooper, etc.
In 2014, Umbro, who left Nike, reappeared in the football circle and successively became Everton, Hull City, PSV Eindhoven, West Ham United Nuremberg, Blackburn and other football clubs. Team sponsor. In 2016, Umbro announced that Michael Owen would be appointed as the CCO (chief cultural officer) of Umbro China. This green king, who had been hidden for many years, also returned to the Chinese market. Facing the media at the time, Umbro Greater China CEO Zhang Tengfei mentioned that Umbro plans to open 20-30 offline stores in 2016 and will gradually increase the speed of opening stores in China. But compared with the glory days of the past, Umbro at this time has fallen too far. In the 2018 World Cup, Umbro only sponsored the jersey of the Peruvian team.
The data shows that in fiscal year 2019, AiConis’ annual sales were US$149 million, a year-on-year decrease of 21%; net losses were US$112 million, of which net losses in the fourth quarter reached US$95 million. The wheel of history has once again pushed Umbro to the brink of sale.
Can Jordan Sports recreate its glory after taking over?
Hong Kong Jordan Investment Co., Ltd., the takeover party of this transaction, was established in 2009. It is a shareholder of Jordan (Xiamen) Industrial Co., Ltd., accounting for 25% of the shares, and is also a shareholder of Jordan (Xiamen) Industrial Co., Ltd. QORDAN SPORTS LIMITED.
A few days ago, information on the website of the Supreme People’s Court showed that it had made a ruling on the previously controversial case of the American AIR JORDAN brand suing China’s Jordan Sports Company for trademark infringement. , the second-instance judgment was erroneous in determining the facts and applying the law and should be revoked. The “Jordan + Graphics” trademark No. 6020578 on the 25th category of clothing, shoes, hats and socks of Jordan Sports Company was revoked.
According to data, Jordan and China’s Jordan Sports have been in constant litigation since 2012. The focus of the dispute between the two parties is the right to name. Previously, Jordan lost both the first and second instances. After losing the second instance, Jordan applied to the Supreme Court for a retrial as a re-applicant. From being repeatedly refuted to finally reversing and winning, Jordan won the case based on the market’s recognition of “Jordan”.
The acquisition of Jordan Sports is seen by the outside world as a repositioning of its own future development. Regarding this international merger and acquisition of Chinese brands, can it continue Anta’s acquisition of FILA and rebuild it? Let us wait and see whether the glorious glory can bring more excitement and hot spots to the sluggish clothing terminal market under the epidemic. </p
