In the run up to the Beijing Olympic Games, when all eyes will be on the Chinese capital, Lotto Sport Italia has announced details of a 20-year partnership agreement, from September this year, with Li Ning Company Ltd, for the production and distribution of the Lotto brand products in China.
With headquarters in Beijing and offices and logistics centres throughout China, Li Ning Company was named after its founder and famous gymnast, who won three Gold, two Silver and one Bronze medals at the 1984 Los Angeles Olympic Games.
Listed on the Hong Kong Stock Exchange since 2004 and with overall sales of 400 million euros in 2007 (+36.7% on 2006), Li Ning is aiming to exceed sales of 600 million euros in 2008.
Already dominating the medium-band sports market with its own brand, Li Ning has set itself the goal of leadership also in the upper price range, hence the tie up with Lotto as its ideal partner for achieving this important repositioning operation.
With the exceptions of Hong Kong and Macau, where Lotto will continue to distribute its own products through its subsidiary Lotto Sport H.K. Ltd., the new agreement involves the retailing of Lotto’s products in monobrand stores and counters in the most prestigious department stores of China’s largest cities.
Andrea Tomat, President and Chief Executive Officer of Lotto Sport Italia, said: “It’s a partnership from which we expect extraordinary drive for Lotto’s presence not only in China but right across Asia.”