• A contract signing ceremony between Anta and the NBA

A contract signing ceremony between Anta and the NBA (Photo : Getty Images)

Shares in Anta Sports went down by 8 percent in Hong Kong on Wednesday after Anta Sports Products Ltd. announced that it would sell new shares in a private placement, thereby diluting the shares of existing shareholders.

China's biggest sportswear brand will increase its total number of shares by 6.5 percent through a sale to at least six independent investors.

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Anta's offering price of HK$21.67 signifies a discount of 8 percent from its closing price posted on March 21.

The Fujian Province-headquartered Anta intends to use the HK$3.8 billion ($488 million) it hopes to raise for its working capital, international brand cooperation and acquisitions.

Anta is led by billionaire brothers Ding Shizhong, who is the chairman, and Ding Shijia, who is vice chairman--both members of the 2017 Forbes Billionaires List

Anta is one of China's most successful sports-related businesses in the past decade. It utilized multiple brands, including Fila, and endorsements from NBA stars like of Rajon Rondo and Klay Thompson.

Anta boosted sales by 20 percent last year to 13.3 billion yuan ($1.9 billion) and its profit climbed 17 percent to 2.4 billion yuan.

While Nike lost more than a 10th of its shares in 2016, Anta has gained about a fifth.

Last year, it was announced that Anta overtook Nike as the top sneaker brand in China. The Fujian-based Anta Sports Products Ltd. sold over 40 million pairs of sneakers in China in 2015 to beat Nike.

Anta executive director Zheng Jie attributed their success to affordability--selling its sneakers at about $62 to $77, which is half the price at which Nike and Adidas sell their sneakers.

Anta is targeting to sell 100 billion yuan ($15.4 billion) worth of products by 2025, which will put them in the same league as Nike and Adidas--the only shoe brands that have sold as much in China. It is also targeting more global exposure.