JD Sports snaps up French specialist Courir in €520m deal

JD Sports said the enterprise value of Courir was €520m and that after deducting net debt of €195m it would pay €325m for the business, which has 191 stores in France and others in countries including Belgium, Portugal and Spain.

At a recent capital markets briefing, JD highlighted the value of “complementary concepts” to its core operations. It said that the proposed deal met its criteria because of Courir’s focus on women customers. The existing management team would be retained along with Courir’s identity and would be run autonomously from JD’s French operations. 

Schultz said: “We said at our capital markets event that this was the start of a new, distinct chapter in the growth story of JD. The exciting developments that we are announcing today reflect the strategic priorities that we highlighted on the day.

“We are delighted to announce the proposed acquisition of Courir, a business that is held in high regard in the European sportswear community. We look forward to concluding the contemplated transaction, welcoming the Courir team to the group and then working with management to fulfil Courir’s global potential.

“Investing in quality complementary concepts while furthering the growth of JD itself is a key strategic pillar for the group and one which we will continue to pursue in the future.”

JD also said at the City event that it wanted “to secure greater control over the long-term global development of JD and prioritise the development of the JD brand”. The retailer has now bought out or is talking about buying out minority investors in subsidiaries in Germany and Iberia.

Schultz said: “Securing greater control over the long-term development of JD and prioritising the development of the JD brand is a key pillar in our growth strategy in Europe. It will give us simpler decision-making, which will allow us to use our assets with more efficiency. At the same time, it will considerably simplify the group operations.