JD Sports Accelerates US Expansion By Acquiring Hibbett For $1.08 Billion

(CTN News) – Earlier this week, JD Sports made a proposal for the acquisition of a 100% stake in Hibbett. The price for the purchase would be $87.50 per share in cash.

In this case, we can assume that the enterprise value would be $1.1 billion and the equity value $1.08 billion.

Bibbett owns 1,169 stores across 36 states and is headquartered in Birmingham, Alabama. There are two major brands of retail products under the Bibbett brand, and two of the largest retail stores of the company are in Birmingham, Alabama, where there are two major retail stores under the Bibbett brand.

As part of the acquisition, JD Sports plans to expand to North America. It will also strengthen its Complementary Concepts division, enhance brand partnerships, and expand the company’s brand portfolio.

Additionally, they believe that by expanding the platform’s size, they can accommodate more U.S. customers. This will enable them to continue expansion in the country.

Régis Schultz, the CEO of JD Sports, said in a quote that Hibbett’s footprint was “highly complementary” to JD Sports’ resources, which is a quote from the CEO of a sports retailer.

A strong presence in communities across the Southeastern United States, where JD Sports currently has a limited presence, as well as a strong presence in the Midwest.

Despite senior apparel analyst at GlobalData, Pippa Stephens believing that the expansion could provide “significant potential”, she warns JD Sports that it must not “overextend” itself since major sportswear brands like Adidas and Puma are experiencing significant declines in North America due to economic and geopolitical uncertainty.

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