JD Sports Fashion Plc, a leading UK-based sports-fashion retail company, has announced a definitive agreement to acquire Hibbett Inc., for a total consideration of $899 million. Hibbett Inc. is a well-established American retailer of sports footwear and apparel, operating 1,169 stores across 36 states, particularly in the Southeastern region of the United States. Rgis Schultz, the CEO of JD Sports, has expressed keen enthusiasm for the proposed acquisition, stating that it strategically aligns with the company’s goal to fortify its Complementary Concepts division while also accentuating its North American presence. The transaction is critical for JD Sports, not only in terms of strategic fit but also due to its expected financial impact, promising earnings accretion from its first year, excluding the additional potential synergies. By integrating Hibbett into JD Sports’ expansive portfolio of retail fascias, the company anticipates further growth in the U.S. market and aims to cement stronger relationships with key brand partners within the world’s most substantial sportswear market. Additionally, Hibbett’s experienced management team is anticipated to play a pivotal role in the transition and subsequent integration process. Strategically, the acquisition presents JD Sports with an opportunity to bolster its presence in areas where its current footprint is minimal. The deal is anticipated to be finalized in the second half of 2024 and marks a significant leap in JD Sports’ ongoing efforts to enhance its global retail network.
Retail, Mergers and Acquisitions,United States, United Kingdom