JD Sports Fashion has announced it is to sell its wholly-owned Netherlands-based Sports Unlimited Retail (SUR) business to its 50.02%-owned Spanish subsidiary Iberian Sports Retail Group (ISRG) for €16.5m.
The sports goods and fashion retailer believes that ISRG is more focused on the sporting goods sector than the core JD brand, and therefore better placed to drive growth and higher returns than SUR, which operates under the Aktiesport and Perry Sport fascias.
However, as the parent to ISRG, JD will continue to make strategic decisions regarding the company’s future.
JD Sports Executive Chairman, Peter Cowgill, said: “We have an excellent management team at ISRG and, having successfully integrated the Sport Zone business into its operations, this is the right time for ISRG to further expand its geographical reach.
“By consolidating our sporting goods businesses under the ISRG umbrella, we are absolutely confident that the transfer of SUR to ISRG will bring long term development opportunities to both the team at SUR and their international brand partners.”
JD will make a further statement upon formal completion of the transaction which is expected to take place on 30 June 2021.