REG - JD Sports Fashion - Completion of the acquisition of Hibbett, Inc.

JD Sports FashionAnnouncement

25/07/2024 14:00

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RNS Number : 8833X  JD Sports Fashion PLC  25 July 2024

25 July 2024

 

JD Sports Fashion Plc

Completion of the acquisition of Hibbett, Inc.

 

Further to the announcement on 23 April 2024, JD Sports Fashion Plc ('JD' or
the 'Group') announces the completion of its acquisition of Hibbett, Inc.
('Hibbett') today, following receipt of the approval of Hibbett's stockholders
at a special meeting of stockholders on 19 July 2024 and the satisfaction of
all other outstanding conditions.

Régis Schultz, CEO of JD Sports Fashion Plc, said: "The completion of our
acquisition of Hibbett is an important strategic milestone for us in North
America and we look forward to working with its experienced management team to
deliver on our growth plans in the largest sportswear market in the world.
Strategically, this acquisition enhances our presence within North America and
achieves our objective of strengthening our existing community concepts: Shoe
Palace on the West Coast and DTLR on the East Coast. Hibbett's footprint is
highly and fully complementary".

He continued: "Hibbett also provides an enhanced platform for the mall-led,
nationwide growth of the JD brand in North America with its efficient supply
chain and strong back office. The completed deal is expected to be earnings
accretive from the first full year following acquisition, with expected cost
synergies of at least $25 million over the medium term. Acquiring Hibbett will
strengthen our brand relationships further as we continue to deliver a
differentiated and world-class omnichannel proposition for customers."

Headquartered in Birmingham, Alabama, Hibbett is a leading sports
fashion-inspired retailer with 1,169 stores, as of 4 May 2024, located in
communities in 36 states across the US. Its main retail fascias are Hibbett
and City Gear. Hibbett has been serving customers for more than 75 years with
convenient locations, personalised customer service and access to leading
brands such as Nike, adidas and Jordan across footwear, apparel and
accessories. In the 53 weeks ended 3 February 2024, Hibbett reported net sales
of $1,729 million, EBITDA of $186 million and PBT of $132 million.

 

Enquiries

JD Sports Fashion
Plc
 Tel:  0161 767 1000

 

Régis Schultz, Chief Executive Officer

Dominic Platt, Chief Financial Officer

Mark Blythman, Director of Investor Relations

 

Advisors

 

Bank of America - Antonia Rowan
                                  Tel: 0207 628 1000

Peel Hunt LLP - Dan Webster
                                         Tel: 0207
418 8869

FGS Global - Rollo Head, Jenny Davey, James Thompson
          Tel: 0207 251 3801

 

About JD Sports Fashion Plc

Founded in 1981, the JD Group ('JD') is a leading global omnichannel retailer
of Sports Fashion brands. JD provides customers with the latest sports fashion
through working with established and new brands to deliver products that our
customers most want, across both footwear and apparel. The vision of JD is to
inspire the emerging generation of consumers through a connection to the
universal culture of sport, music and fashion. JD focuses on four strategic
pillars: JD Brand First - first priority, first in the world; leveraging
Complementary Concepts to support JD Group global expansion; moving Beyond
Physical Retail by building the right infrastructure and creating a lifestyle
ecosystem of relevant products and services; and doing the best for its
People, Partners and Communities. JD is a constituent of the FTSE 100 index
and had 3,300 stores worldwide at 4 May 2024.

Disclaimer

This announcement does not constitute or form part of any offer, invitation to
sell, otherwise dispose of or issue, or any solicitation of any offer to
purchase or subscribe for, any shares or other securities nor shall it or any
part of it, nor the fact of its distribution form the basis of, or be relied
on in connection with, any contract commitment or investment decision.

Forward-Looking Statements

This announcement may include statements that are, or may be deemed to be,
forward-looking statements. These forward looking statements may be identified
by the use of forward-looking terminology, including the terms "believes",
"estimates", "envisages", "plans", "projects",  anticipates", "targets",
"aims", "expects", "intends", "may", "will" or "should" or, in each case,
their negative or other variations or comparable terminology, or by
discussions of strategy, plans, objectives, goals, future events or
intentions. These forward looking statements include all matters that are not
historical facts and involve predictions. Forward-looking statements may and
often do differ materially from actual results. Any forward-looking statements
reflect the Group's current views with respect to future events and are
subject to risks relating to future events and other risks, uncertainties and
assumptions relating to the Group's or Hibbett's, results of operations,
financial position, liquidity, prospects, growth or strategies and the
industries in which they operate. Forward-looking statements speak only as of
the date they are made and cannot be relied upon as a guide to future
performance. Save as required by law or regulation, the Group disclaims any
obligation or undertaking to release publicly any updates or revisions to any
forward-looking statements in this announcement that may occur due to any
change in its expectations or to reflect events or circumstances after the
date of this announcement. Nothing in this announcement should be construed as
a profit estimate or profit forecast and no statement in this announcement
should be interpreted to mean that earnings per share of the Group for the
current or future financial years would necessarily match or exceed the
historical published earnings per share of the Group.

 

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