E Point Perfect

JD Sports sells Footasylum to investment group for £37.5m

JD Sports
// JD Sports offloads its Footasylum business to German investment firm Aurelius for £37.5m
// JD Sports had paid £90m for Footasylum in 2019

JD Sports has sold Footasylum to German investment group Aurelius ending its long-running battle with the CMA.

The retailer sold Footasylum, which it been ordered to dispose of by the CMA, for a sum of £37.5 million.

JD Sports had paid £90 million for Footasylum in 2019 but was ordered to reverse the purchase on competition grounds.

READ MORE: Who is JD Sports CEO frontrunner Régis Schultz?

JD outgoing boss Peter Cowgill had put JD into hot water with the CMA. In February, the sportswear retailer was handed a £4.3 million fine for breaching the rules.

The CMA said JD and Footasylum had exchanged commercially sensitive information in when Cowgill was caught on camera meeting his Footasylum counterpart Barry Brown in a car park in Bury in July last year.

JD said today that the sale of Footasylum has been ”agreed in accordance with the final undertakings issued by the CMA, following its decision to prohibit JD’s acquisition of Footasylum last year.

”JD has cooperated with the CMA throughout the divestment process, including ensuring that the purchaser was acceptable to the CMA and met certain key criteria set out within the final undertakings,” JD said.

The deal is expected to completed in the next few weeks.

JD interim chief executive Kath Smith said: ”I would like to sincerely thank the teams at Aurelius and Footasylum who worked collaboratively with the CMA to agree this transaction.”

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