Business
Update on Iberian Sports Retail Group, S.L.
Update on Iberian Sports Retail Group, S.L..
About this update from Jd Sports Fashion Plc
[{"type":"text","content":"\n\n \n7 July 2023\n \nTHIS ANNOUNCEMENT CONTAINS INSIDE INFORMATION\nNot for release, publication or distribution, in whole or in part, in or into any jurisdiction where to do so would constitute a violation of the relevant laws of such jurisdiction\nJD Sports Fashion Plc\n \nUpdate on Iberian Sports Retail Group, S.L. ('ISRG')\n \nFurther to the announcement on 9 May 2023, JD Sports Fashion Plc ('Group' or 'Company') announces its intention to acquire the remaining 49.98% shares in ISRG ('Transaction') that are currently held by Balaiko Firaja Invest, S.L. and Sonae Holdings, S.A. (together the 'Minority Parties') for total cash consideration of €500.1 million which will be funded from the Group's existing available cash resources. Upon completion, the Group will own 100% of ISRG.\n \nInformation on ISRG and rationale for the Transaction\n \nISRG currently operates more than 460 stores across Europe including JD in Iberia, Sprinter in Spain, Sport Zone in Portugal and Aktiesport and Perry Sport in the Netherlands. ISRG also has a 98% holding in the Deporvillage online business and a 50.1% holding in the Bodytone fitness equipment business.\n \nA summary of the key financial information relating to ISRG for the financial years ended 31 January 2022 and 31 January 2023 is set out below:\n \n\n\n\n\n\n\n\nYear ended 31 January 2022\n\n\n\n\n\nYear ended 31 January 2023\n\n\n\n\n\n\n\nAudited\n\n\n\n\n\nUnaudited\n\n\n\n\n\n\n\n€m\n\n\n\n\n\n€m\n\n\n\n\n\n\n\n\n\n\n\n\n\n\n\n\n\n\nConsolidated revenues\n\n\n1,037.8\n\n\n\n\n\n1,239.3\n\n\n\n\n\n\n\n\n\n\n\n\n\n\n\n\n\n\nConsolidated profit before tax\n\n\n73.2\n\n\n\n\n\n96.6\n\n\n\n\n\n\n\n\n\n\n\n\n\n\n\n\n\n\nConsolidated gross assets\n\n\n659.4\n\n\n\n\n\n767.7\n\n\n\n\n \nWe believe that there are opportunities to continue to develop Sprinter and Sport Zone and that the ISRG team in Iberia also have an important part to play in the further development of the JD fascia in Iberia and beyond.\n \nRelated Party Transaction\n \nAs Sonae Holdings, S.A. and Balaiko Firaja Invest, S.L. are 29.99% and 19.99% shareholders of ISRG respectively, each of the Minority Parties is deemed to be a related party of the Company for the purposes of the Listing Rules. The Transaction is therefore considered to be a related party transaction an...