JD Sports is to acquire an online retailer for cycling, running and outdoor equipment in Spain for €140.4m.
The Greater Manchester-headquartered group's 50.02% intermediate holding company in the country, Iberian Sports Retail Group SL, has entered into a conditional agreement to acquire 80% of the issued shares in Deporvillage SL.
Based in Manresa in Catalonia, Deporvillage launched initially in 2010 and has expanded internationally with country specific websites in Italy (2013), France (2013), Portugal (2014), Germany (2018) and UK (2018).
In the year to 31 December 2020, Deporvillage generated revenues of €117.8m and delivered a profit before tax of €7.7m. The gross assets at 31 December 2020 were €51.1m.
Deporvillage was established by Xavier Pladellorens and Ángel Corcuera who, after a number of fund raising exercises, are currently minority shareholders.
Post completion, they will retain a 20% holding in the business and will be continuing in their roles as chief executive and chief purchasing officer respectively.
Completion of the acquisition is subject to receiving antitrust clearance.
Peter Cowgill, executive chairman of JD Sports Fashion Plc, said: "Deporvillage has a strong consumer-centric approach and is the market leader in its categories in Spain with significant potential for further international development.
"We look forward to closing the transaction and welcoming the Deporvillage team to the group."
