mergers and acquisitions

JD Sports expands US footprint with $495-million DTLR Villa purchase

Reuters
JD Sports expands US footprint with $495-million DTLR Villa purchase

JD SPORTS. A sign for a JD Sports store is displayed in a window in London, Britain, April 11, 2017.

File photo by Neil Hall/Reuters

JD Sports, Britain's biggest sportswear retailer, makes its second US purchase in less than two months

JD Sports Fashion said on Monday, February 1, it would buy Baltimore-based DTLR Villa LLC for $495 million as Britain’s biggest sportswear retailer further expands its presence in the United States market, sending its shares about 7% higher.

The acquisition of DTLR, an athletic footwear and apparel streetwear retailer, is JD’s second US purchase in less than two months after it bought West Coast-focused Shoe Palace in December.

DTLR, which was established in 1982, is majority owned by BRS & Co. and Goode Capital and operates from 247 stores across 19 states, mostly in the north and east US.

JD, which also owns Footpatrol and Cloggs, entered the US market in 2018 with the acquisition of Finish Line.

The DTLR management team of Glenn Gaynor and Scott Collins will continue in their roles as co-chief executive officers.

Although Britain’s retail sector was struggling before the COVID-19 pandemic hammered it, JD has generally outperformed rivals by targeting younger consumers with popular athleisure products.

Last month, JD raised its full-year profit view on the back of strong online sales during the lockdowns. – Rappler.com

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