On falls, brand partner Mbappe faces controversy in China over Mao meme comments

** US-listed shares of sportswear brand On Holding 49G.BN down about 4% at $31.89

** Brand partner Kylian Mbappe apologises after Chinese brands cut ties with him over comments referring to Mao Zedong as satire or jokes related to the former leader are considered disrespectful and remain a social taboo in the country

** The France soccer captain was heard in a video saying the funniest meme he had seen of himself was one where his face had been photoshopped onto that of "some guy — I think he's a Chinese dictator", an apparent reference to the composite image of him and Mao

** On had signed Mbappe last month as it aims to expand beyond running and tennis into soccer

** "I doubt that this controversy will affect his relationships with On and other firms. More likely, they will avoid using his image in advertising in China," Morningstar analyst David Swartz says

** Up to last close, stock has fallen ~29% YTD