British sportswear retailer JD Sports is to offload Sports Unlimited Retail to its 50.02 percent subsidiary based in Spain for 16.5 million euros.
JD Sports said its subsidiary Iberian Sports Retail Group is more focused on the sporting goods sector than the core JD brand and therefore its management team will be better placed to drive growth and higher returns for the company longer term.
But JD Sports said it would continue to make strategic decisions about the company's future.
JD Sports to sell Sports Unlimited Retail
Sports Unlimited Retail is a company based in the Netherlands operating under the Aktiesport and Perry Sport fascias.
“We have an excellent management team at Iberian Sports Retail Group and, having successfully integrated the Sport Zone business into its operations, this is the right time for Iberian Sports Retail Group to further expand its geographical reach,” said JD Sports CEO and chair Peter Cowgill in a statement.
“By consolidating our sporting goods businesses under the Iberian Sports Retail Group umbrella, we are absolutely confident that the transfer of Sports Unlimited Retail to Iberian Sports Retail Group will bring long term development opportunities to both the team at Sports Unlimited Retail and their international brand partners.”
The deal is expected to complete on June 30.