Last checked at 16 Dec 2022 15:59
16 December 2022
JD SPORTS FASHION PLC
AGREEMENT TO DIVEST NON-CORE UK FASHION BRANDS
JD Sports Fashion Plc ('JD' or 'Group'), a leading global retailer of sports, fashion and outdoor brands, today announces that, following a strategic review led by the Group's Chief Executive Officer, it is significantly simplifying its branded fashion offer through the divestment of 15 UK-based non-core fashion businesses* ('Divested Businesses') to Frasers Group Plc for an aggregate cash consideration of up to £47.5m. Completion on the acquisition of shares in eight of the Divested Businesses and on the acquisition of all of the debt owing to JD by the Divested Businesses took place immediately on exchange with completion on the acquisition of shares in the remaining seven businesses expected in early 2023.
The divestment of these businesses will allow the Group to focus more fully on the opportunities across the rest of the Group, in particular the international and digital expansion of the Group's core premium sports fashion fascias.
This divestment will result in the Group recognising a non-cash exceptional charge in its annual accounts for the period to 28 January 2023 of approximately £100 million.
Régis Schultz, CEO of JD, said:
"JD is rightly recognised for its laser focus on the customer and we are convinced that the most significant opportunities lie in the continued international development of the Group's global sports fashion businesses.
"We are pleased to have agreed the sale of these attractive, but non-core, brands and I would like to express my sincere thanks to all colleagues at the businesses which form part of the transaction for their hard work and contribution to the Group over the years."
- ENDS -
Enquiries:
JD Sports Fashion Plc Tel: 0161 767 1000
Andy Higginson, Chair
Régis Schultz, Chief Executive Officer
Neil Greenhalgh, Chief Financial Officer
Alison Lees, Director of Investor Relations and Treasury
FGS Global Tel: 0207 251 3801
Rollo Head
Jenny Davey
James Thompson
* List of Divested Businesses
1. Base Childrenswear
2. Kids Cavern
3. Pretty Green
4. Prevu Studio
5. Nicholas Deakins
6. Missy Empire
7. Clothingsites (incl Brown Bag Clothing trading website)
8. Watch Shop
9. Cricket#
10. Giulio#
11. Choice#
12. Tessuti (incl Xile)#
13. Scotts#
14. Rascal Clothing#
15. Topgrade Sportswear (incl Get The Label trading website)#
# Sale of shares not yet completed