Get 40% Off
🚀 Our AI Picked 6 Stocks that Jumped +25% in Q1. Which Picks Will Soar in Q2?Unlock full list

Samsonite shares rally as report flags takeover talks

Published 02/27/2024, 12:14 PM
Updated 02/27/2024, 12:14 PM
© Reuters. Shares of Samsonite International SA (OTC:SMSEY) (HK:1910) rose sharply on Tuesday after a Bloomberg report said the Hong Kong-listed luggage maker is considering its options after receiving takeover interest from several suitors. 

Samsonite is considering several options, including potentially going private, Bloomberg reported, with the luggage maker having already held discussions with several suitors, including buyout firms, for a potential takeover. 

Samsonite’s shares jumped 16% to HK$27.0- reaching a near five-month high, as the prospect of privatization or even a takeover offered some relief to shareholders. 

The Luxembourg-based firm had listed in Hong Kong in 2011 to get closer to its biggest buyers. 

While the firm has remained largely profitable and seen steady sales growth, the Bloomberg report comes as several major multinational firms consider potential exits from Hong Kong, amid growing U.S.-China geopolitical rifts and a looming slowdown in the Chinese economy. 

Potential U.S. sanctions against Beijing have been a key point of anxiety for multinational firms with Hong Kong listings and operations. The U.S. had recently slapped chip export restrictions on China, which impacted firms such as Micron Technology Inc (NASDAQ:MU) and NVIDIA Corporation (NASDAQ:NVDA), which have key markets and operations in China.

Still, Samsonite CEO Kyle Gendreau had said last year that the firm had no plans to consider an offshore listing. 

Latest comments

Risk Disclosure: Trading in financial instruments and/or cryptocurrencies involves high risks including the risk of losing some, or all, of your investment amount, and may not be suitable for all investors. Prices of cryptocurrencies are extremely volatile and may be affected by external factors such as financial, regulatory or political events. Trading on margin increases the financial risks.
Before deciding to trade in financial instrument or cryptocurrencies you should be fully informed of the risks and costs associated with trading the financial markets, carefully consider your investment objectives, level of experience, and risk appetite, and seek professional advice where needed.
Fusion Media would like to remind you that the data contained in this website is not necessarily real-time nor accurate. The data and prices on the website are not necessarily provided by any market or exchange, but may be provided by market makers, and so prices may not be accurate and may differ from the actual price at any given market, meaning prices are indicative and not appropriate for trading purposes. Fusion Media and any provider of the data contained in this website will not accept liability for any loss or damage as a result of your trading, or your reliance on the information contained within this website.
It is prohibited to use, store, reproduce, display, modify, transmit or distribute the data contained in this website without the explicit prior written permission of Fusion Media and/or the data provider. All intellectual property rights are reserved by the providers and/or the exchange providing the data contained in this website.
Fusion Media may be compensated by the advertisers that appear on the website, based on your interaction with the advertisements or advertisers.
© 2007-2024 - Fusion Media Limited. All Rights Reserved.