On stock slips as Kylian Mbappe’s Mao remarks trigger commercial fallout

Shares in Swiss sportswear company On fell by 3.81% after comments by Kylian Mbappe about former Chinese leader Mao Zedong intensified a backlash that has begun to affect the France captain’s commercial partnerships.

According to French newspaper Le Parisien, On shares closed at $33.06 on Monday. They dropped to $31.80 when trading opened on Tuesday, representing a 3.81% decline, before stabilising and edging slightly higher.

The movement came only recently after Mbappe began working with On. In September, the France captain ended his long-standing association with Nike, which had been his sponsor since the beginning of his career, and joined the Swiss company as part of a new commercial chapter.

On was founded in 2010 and initially concentrated on running and tennis shoes before expanding into sports clothing and footwear. Swiss tennis great Roger Federer is among the company’s shareholders. Federer also ended his relationship with Nike towards the end of his playing career.

Former France international Thierry Henry became the company’s football director at around the same time Mbappe joined. The striker’s arrival helped increase attention around On’s stock, which rose from $27.26 to $30.46 in less than a week, according to Le Parisien.

Three Chinese partnerships ended

The decline in On’s share price followed the wider commercial consequences of the controversy, which has seen three Chinese companies end their partnerships with Mbappe.

The dispute began after the forward commented on a satirical image showing his face superimposed on a picture of Mao Zedong. Mbappe described the former Chinese leader as a “dictator”, provoking widespread anger in China.

Mbappe apologised to the Chinese people on Tuesday.

“I apologise to everyone who was hurt by my words. That was never my intention. I have deep respect for the Chinese people and their history, and I am sincerely sorry,” he said.

On Wednesday, Chinese foreign ministry spokesperson Guo Jiakun said China “takes seriously the apologies offered by the person concerned”, referring to Mbappe’s statement.