Strategic acquisition strengthens Dick’s Sporting Goods’ position in the athletic footwear market as retail consolidation trend continues
Foot Locker, the struggling athletic footwear retailer, has secured a buyer for its operations. Dick’s Sporting Goods has announced an agreement to acquire Foot Locker for $2.8 billion.
Under the terms of the deal, Foot Locker shareholders will have the option to receive either $24 per share in cash or 0.1168 shares of Dick’s Sporting Goods common stock for each Foot Locker share they own.
Lauren Hobart, CEO of Dick’s Sporting Goods, stated, “Sports and sports culture continue to be incredibly powerful, and with this acquisition, we’ll create a new global platform that serves those ever-evolving needs through iconic concepts consumers know and love, enhanced store designs and omnichannel experiences, as well as a product mix that appeals to our different customer bases.”
Foot Locker currently operates 2,400 retail locations across 20 countries throughout North America, Europe, Asia, Australia, and New Zealand.
This marks the second major acquisition in the footwear retail sector this month. Earlier in May, Skechers announced its sale to an investment group in a deal valued at $9 billion.
