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1/5
On on Wall Street: The running company went public on September 15th.
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The price peaked at over $ 40 per share in the days following the IPO.
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4/5
In the meantime, however, the paper has lost in the double-digit percentage range.
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5/5
David Allemann: He is one of the three founders of the sports shoe brand.
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The first day was a fireworks display: On stock market debut shot into the air. It was trading around $ 35. The company was worth billions.
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And then it went even further. The price climbed to almost $ 41. That was the title’s record high, set on September 17th. That made the company worth more than $ 10 billion. It played in a league with the world’s largest producer of chocolate: Barry Callebaut.
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Since then, the paper from the Zurich sports shoe company, in which tennis ace Roger Federer (40) is also involved, has been on the decline. The paper is currently trading at just over $ 30. That makes a minus of over 10 percent since the first day of trading.
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Honeymoon over
Compared to the record two weeks ago, the stock has even lost over $ 10. A quarter of the value.
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The honeymoon is over, says the stock market newspaper “Finanz und Wirtschaft”. The stock market environment has generally become more nervous. But the price collapse also has operational reasons.
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Factory closures in Vietnam for weeks would make the big sporting goods manufacturers difficult, they say. The background to this is the corona pandemic.
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Problems in Vietnam
In fact, On has recently spoken out on the subject. Covid affects On in Southeast Asia “at several levels in the supply chain,” said managing director Martin Hoffmann in mid-September. “We have a team of fifty people in Vietnam who are working to move production capacity between the nine factories.”
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Last year On produced 97 percent of its shoes in the Southeast Asian country. Shoes make up 95 percent of sales, almost all of the rest is accounted for by clothing and a small proportion by accessories. The standstill in Vietnam is likely to have an impact on the annual figures.
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Much larger companies are also struggling with similar problems. The leading sporting goods manufacturer Nike is already worried about parts of its Christmas business. He has lowered the sales expectations for the current financial year. Nike shares have also lost in the last few days, as have Adidas and Puma. (ise)
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video-wrapper video-wrapper--inline">With cowbell: Swiss shoe company On celebrates its IPO(12:25)
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