Umbro to kick-off £200m float

ENGLAND football kit-maker Umbro is to float on the stock market with an expected valuation of around £200m.

Umbro, owned by venture capital group Doughty Hanson, said it was a profitable cash-generative business with strong plans for growth in football trainers, women's kit and in the US.

Chief executive Peter McGuigan, a former Mansfield Town player, said: 'Umbro has been transformed over the past five years and is now well-placed to benefit from the growing international interest in football.

'We have a clear strategy in place to expand our core business as well as to exploit identified areas of growth. Umbro's float will allow us to strengthen our brand profile and accelerate our international strategy.'

McGuigan owns an 8.3% stake in the company which should be worth more than £16m on flotation.

Umbro and its 47 licensees supply strips to a host of national sides including England, the Republic of Ireland, Sweden and Norway. It supplies club shirts to Chelsea, Lyonnais in France, Olympiakos in Greece and FC Santos in Brazil.

Earnings before interest tax and amortisation have increased by 180% since 2001 to reach £20.2m in 2003.

The share offering, which is being handled by Cazenove, is due to be completed by the end of June.

Doughty Hanson bought Umbro for £90m in 1999 when it barely broke even, and appointed McGuigan as chief executive.

The company will not raise any new capital during the share offer.