![]() ![]() But with JD Sports reaching a deal with Finish Line, it's more likely that Finish Line will retain a model resembling its existing stores. Poser had expected Sports Direct to turn Finish Line into a discount footwear retailer akin to DSW. "We were right about the country and wrong about the acquirer," Poser said Monday in an interview. Speculation persisted Monday that Sports Direct could yet make a run at Finish Line, but it appears JD Sports will instead be the British company that closes the deal. Sam Poser, a footwear analyst for Susquehanna Financial Group, in September estimated that there was a 75 percent chance Finish Line would be acquired by U.K.-based Sports Direct International PLC, which had been gobbling up shares of Finish Line. Analysts have explained the company's challenges by citing declining mall foot traffic, Finish Line's inability to anticipate new trends and a lack of innovation from footwear makers such as Nike Inc. Sales at stores open at least a year tumbled 7.9 percent in the fourth quarter, Finish Line said Monday.įinish line has been considered an acquisition target for at least six months. The merger "achieves immediate value for its shareholders and moves into a stronger position to compete as part of a global enterprise that leads in our industry," Finish Line lead director Bill Carmichael said in a written statement.įinish Line has struggled for years. High-tech jerseys: Here's why Nike's new replica NBA jerseys have embedded microchips Kobe's shoes: Why Purdue is the first college basketball team to wear Kobe's new shoes They did not address the future of Finish Line's Indianapolis headquarters or say how many people work there. Finish Line executives said the deal positions the Indianapolis company to compete with larger players, such as market leader Foot Locker Retail Inc.įinish Line's Indianapolis management team will remain in place after the deal closes, the companies said in a statement. United Kingdom-based JD Sports Fashion has agreed to pay $558 million, or $13.50 per share, for Finish Line in a deal that is expected to close no sooner than June. on Monday made a long-anticipated announcement that it is being acquired by a British sporting goods company - but not the one everyone was watching. ![]()
0 Comments
Leave a Reply. |