Li Ning Co., the largest China- based sportswear company by revenue, posted its first annual deficit since listing in 2004, as slowing economic growth caused sales to fall a second year. The shares fell.
Li Ning Co., the Chinese sportswear retailer whose first-half profit fell 85 percent, forecast a “substantial” full-year loss on costs stemming from a plan to revive growth. The stock dropped.
Li Ning Co. surged in Hong Kong trading after its chief executive officer stepped down and private-equity firm TPG Capital said it could boost investment in the sportswear retailer if needed.
Li Ning Co. fell by a record after the Chinese sportswear company said it plans to raise as much as HK$1.87 billion ($241 million) offering convertible securities to fund efforts to revive its brand.
"The remarks point out the direction of the policy."
- Li Ning on Aug 28, 2014