Outdoor brand Mammut seeks loftier growth under Chinese owners

Mammut Sports Group wants to lure new customers in Asia and North America to boost sales of outdoor clothing and footwear following its takeover by Chinese alternative asset manager CPE. China will probably be the biggest source of growth, with CPE’s local knowledge helping to expand the Swiss brand’s network of more than 100 stores in the country, Chief Executive Officer Heiko Schaefer said in an interview. Mammut North America expansion: Waypoint Outdoor and REI A new sales and distribution partnership with Seattle-based Waypoint Outdoor is expected to speed up growth in North America, he said, where the strategy is to build up its presence in specialty stores including Recreational Equipment Inc., or REI. “We are on the attack,” Schaefer said. “We have a partner who is hungry as well and who brings the right perspective and the right assets.” CPE said last week it signed an agreement to acquire Mammut from private equity fund Jacobs Capital, which Bloomberg reported this year had been seeking a valuation of more than 500 euros million ($577 million). The ultimate transaction value exceeded that, a person familiar with the matter said, asking not to be named because the terms of the deal are confidential. Chinese Investment in Western outdoor brands It’s the latest in a slew of Chinese investments in Western sports companies. Outdoor clothing is increasingly popular in China, where an aging population is looking to stay active and younger shoppers have embraced technical products. Anta Sports Products took a leading ownership position in Helsinki-based Amer Sports, parent of brands including Arc’teryx and Salomon, both of which have accelerated growth in China. There’s growing interest in hiking, trail running, skiing and mountaineering in China, said Bloomberg Intelligence’s Poonam Goyal. “Premium outdoor labels are also benefiting from fashion and lifestyle demand in China, broadening the addressable market beyond technical enthusiasts.” Still, Mammut faces competition from larger rivals. Its sales have been growing at a double-digit rate, with total revenue of about 400 million Swiss francs ($495 million) this year, according to Schaefer, who will stay on as CEO under the new ownership. That compares to $2.9 billion last year for Amer’s technical apparel division, which has been expanding at about 37% a year since 2022. Mammut, based in Seon, employs about 930 people, a third of them in Switzerland, where most of its products are developed. Founded in 1862, it has long specialized in mountain clothing and equipment, including Barryvox transceivers that emit radio signals for rescuers, and avalanche airbags. Since arriving in 2022 following stints at Adidas and Hugo Boss, Schaefer has built out Mammut’s clothing and footwear products. The brand has used softer colors on jackets for a more casual appeal. The 300 euro ($346) Ultimate soft-shell jacket has been popular in China, a company spokesperson said. Schaefer also got Mammut back into the trail-running space, including with the 190 euro ($219) Aenergy Trail Speed model, and its hiking shoes are inspired by trail-running designs. “The time of these clunky, heavy leather boots for hiking is basically over,” he said. Mammut store openings in Europe: Berlin and London It’s also expanding geographically. When Schaefer arrived, Mammut’s traditional core markets of Germany, Austria and Switzerland accounted for about half of sales. Last year, it was about a third due to the rate of growth elsewhere. The company is looking to open more stores in Europe, including in Berlin or London. Mammut is putting more emphasis on marketing, including last year’s tongue-in-cheek “Mountainwear Rescue” campaign that showed people dressed in Mammut garb issuing violation notices to urbanites wearing its jackets. While it does have a small number of products with collaboration partners for lifestyle, “we’re not a street-wear brand,” Schaefer said. “We’re grateful for any consumer, but in the end we’re deliberately not creating fashion products.” By Tim Loh

Outdoor brand Mammut seeks loftier growth under Chinese owners

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Outdoor brand Mammut seeks loftier growth under Chinese owners

How Bottega Veneta weaved China’s forever it bag