Shares in Anta Sports, China’s biggest sportswear brand, dropped by 8% in Hong Kong on Wednesday after the company said it would dilute existing shareholders by selling new shares in a private placement. Led by billionaire brothers Ding Shizhong and Ding Shijia, Fujian Province-headquartered Anta will increase its total number of shares by 6.5% though a sale to at least six independent investors, the company said in an announcement yesterday. Anta said it would use the HK$3.8 billion, or $488 million, it expects to raise for acquisitions, international brand cooperation and working capital. The company’s shares have gained about a fifth in the past year; Nike's have lost more than a tenth. Chairman Ding Shizhong and vice chairman Ding Shijia were members of the 2017 Forbes Billionaires List unveiled on Monday.

Source: Forbes March 23, 2017 03:22 UTC