Under Armour Buying Lululemon? A Stretch Sure To Burst Some Seams

So you're telling me there's a chance?

Dumb & Dumber is one of my favorite movies, and one of the best parts is near the end, where Llyod is asking Mary about the chances that the two will end up together as a couple. She responds with, "not good," and later clarifies with, "I'd say more like one out of a million." And Lloyd responds with, "So you're telling me there's a chance. YEAH!" It can be found here for a good laugh.

And that about sums up the chances of Dana Blankenhorn's rehashed two-year old idea of Under Armour (NYSE:UA) (NYSE:UA.C) buying Lululemon (NASDAQ:LULU) coming to fruition - a deal that Dana asserts should occur because UA now needs LULU. While he pointed out that the merger could be "a match made in athletic heaven," he also noted it's a stretch… one that I would assert is likely to bust the seams of yoga pants and create some sights that cannot be unseen. On paper, the companies could integrate technologies, designs, and logistical efforts to be a combined leader in athletic wear. He even went so far as to note that they should make the purchase after LULU's earnings report which came out this week.

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