JD Sports, the British sportswear retailer, has decided to sell Sports Unlimited Retail to Iberian Sports Retail Group for €16.5 million.
Iberian Sports Retail Group is JD Sports’ 50.02 per cent subsidiary based in Spain.
The sportswear retailer said that Iberian Sports Retail Group’s focus on sporting goods sector than the core JD brand makes it better placed to take Sports Unlimited Return to the path of growth and profit.
However, as per media reports, JD Sports will continue to make strategic decisions with regard to company’s future.
Talking about the sale, Peter Cowgill, CEO and Chair, JD Sports, reportedly, said that Iberian Sports Retail Group has an excellent management team, further adding “Having successfully integrated the Sport Zone business into its operations, this is the right time for Iberian Sports Retail Group to further expand its geographical reach.”
The CEO also said that the sale would create long-term development opportunities for both the companies.
The deal, in all likelihood, will conclude on 30 June 2021.
Founded in 1981, JD Sports generated revenue of £6,110.8 million in 2020. The retailer had earlier this year bought US sportswear and footwear retailer DTLR for US $ 495 million followed by acquisition of Manchester-based fashion retailer Oi Polloi in May 2021.