Saturday, December 4, 2021

Sports Direct acquires 2 US retailers in $101m deal

Sports Direct has splashed out $101 million (£78 million) in a takeover deal of US retailers Bob’s Stores and Eastern Mountain Sports.

The retailer, owned and run by billionaire tycoon Mike Ashley, acquired the chains by buying up the debts of their parent firm Eastern Outfitters, which filed for Chapter 11 bankruptcy protection in February.

Sports Direct said the acquisition, which includes around 50 retail stores, will provide it with a “footprint in US bricks-and-mortar retail and a platform from which to grow US online sales”.

READ MORE: Sports Direct appoints new workers respresentative

Bob’s Stores and Eastern Mountain Sports sell clothing, sportswear and camping equipment.

The acquisition comes as Sports Direct recently went on a spate of increasing its stake in several UK retailers, including Debenhams, French Connection and Agent Provocateur.

Ashley recently came under fire for presiding over ”Victorian” working conditions at Sports Direct’s warehouse in Shirebrook, Derbyshire.

The retailer has since moved to elect an employee to attend board meetings.

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