JD Sports targets further European expansion with MIG buy
JD Sports has exercised its right to acquired the remaining 40% shares it didn't already own in Poland-based Marketing Investment Group (MIG) saying the deal will accelerate the development of JD in Central and Eastern Europe.
The UK sports plc acquired a 60% stake in MIG in April 2021 and since then has established the JD fascia in five countries across Central and Eastern Europe operating 18 JD stores.
MIG also trade profitably through Sizeer and other complementary fascias, selling a wide range of sports footwear, apparel and equipment from leading global brands. In the year ended 31 January 2023, MIG generated revenues of approximately £270 million.
“Acquiring the remaining 40% stake in MIG allows us to accelerate the development of JD in Central and Eastern Europe, the strong foundations for which have been established alongside the outgoing shareholders," explained JD Sports CEO Régis Schultz.
"Increasing JD’s presence in the region through new store openings and further investment in our omnichannel capabilities is a key part of the strategic growth plan set out at our Capital Markets Day presentation.
"The complementary Sizeer brand provides a strong platform for the MIG business and the JD brand has evidenced strong initial traction with the consumer, which we will continue to build upon," he added.
Schultz has outlined ambitious expansion plans for JD, saying he is targeting the opening of between 250 and 250 new JD stores across the globe per annum over the next five years.
The group recently revealed its expansion in the Middle East via its first franchise deal with Dubai-based company GMG.
