Speculation is mounting that Nike is looking to buy rival Umbro after the British brand received a takeover bid from an unnamed suitor. Nike has refused to comment but Umbro’s share price soared 27.5% on the back of the rumours.
In a statement, Umbro says: “We have received an approach which may or may not lead to an offer being made for the entire issued share capital.”
A takeover could help lift Umbro after a difficult year. The company is the official kit provider to the England football team but a poor performance from the team on the pitch and a lack of any major football tournament has hit sales in 2007.
Umbro was founded in 1924 and is now sold in more then 90 countries. Along with kitting out the England team, it supplies the playing and training kits to the Irish, Swedish and Norwegian national teams.