As part of its ambitious growth goals, JD Sports will open dozens of stores in the Middle East through its first franchise agreement.
The global leader in sports fashion announced to investors that it would increase its presence in the area through a new alliance with GMG, a business located in Dubai.
Over the next five years, it intends to open about 50 JD-branded stores, concentrating on cities in the United Arab Emirates, Saudi Arabia, Kuwait, and Egypt.
The move is a part of JD Sports’ plans to open 200–300 new stores annually over the following five years. The quick growth strategy was introduced by JD Sports CEO Régis Schultz during a capital markets event in February.
Schultz joined JD Sports last year after executive chairman Peter Cowgill left the shop. This was months after the UK competition authority had fined the company £4 million over allegations that Cowgill had met in secret with the head of potential takeover target Footasylum.
Schultz had been president of retail for Dubai-based conglomerate Al-Futtaim Group before he joined JD Sports. “We are very pleased to be delivering this historic deal, the first franchise agreement JD has entered, in partnership with GMG,” he said.
GMG deputy chairman and CEO Mohammad A Baker said: “This alliance is a testament to our commitment to enhancing the lives of consumers in the region, as we embark on a journey to provide them with unmatched choices and empower their active lifestyles.”
