// Frasers Group reviews its Bob’s Stores fascia in the US after Nike cuts ties
// Nike has confirmed it will no longer distribute to Bob’s Stores 24-strong US estate from the end of March 2021
Mike Ashley’s Frasers Group has confirmed that Nike has cut distribution ties with its US subsidiary Bob’s Stores, prompting it to place the fascia under a strategic review.
In a statement to the City, Frasers Group said Nike, as of March 2021, will no longer distribute to Bob’s Stores, which trades from 24 stores across the US.
The company added that Nike’s decision does not directly affect the rest of the Frasers Group, which includes other UK-based sportswear giant Sports Direct.
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Frasers Group added the Bob’s Stores estate “does not include any of the new elevated stores which are core to the Frasers Group elevation strategy”.
“Frasers Group continues to invest in its store portfolio and brand relationships and remains committed to its elevation strategy,” the firm said.
Frasers Group had acquired Bob’s Stores in 2017.
Nike’s decision cut ties with Bob’s Stores is part of its wider global strategic shift to increase its ecommerce and direct-to-consumer sales.
The news comes after Frasers Group bought DW Sports’ gym and fitness business out of administration for £37 million earlier this week.