John David Group (The) PLC
31 October 2005
31 October 2005
The John David Group PLC
Acquisition of Allsports Limited
The John David Group PLC ('JD') announces today that it has acquired the trade
and most of the assets of Allsports Limited and its subsidiaries ('Allsports')
from its Administrator for a total consideration, including estimated fees, of
approximately £18 million in cash. The consideration is to be funded by existing
and new subordinated bank debt. The assets acquired comprise principally
inventories and fixtures and fittings.
Allsports unaudited accounts for the year ended 31 January 2005 detailed an
operating loss of £0.8 million.
Allsports was the fourth largest retailer of general sportswear and sports
equipment in the UK market, with 270 stores, until it went into administration
in September 2005. Since that time, 92 stores have been closed by the
Administrator and JD believes that following the elimination of underperforming
stores the acquired business can be run successfully as a complementary fascia
to the existing JD fascias.
It is expected that the acquisition will be earnings neutral in the current
financial year ending 31 January 2006 and earnings enhancing thereafter.
Peter Cowgill, Executive Chairman, The John David Group PLC, said:
'We are delighted to have secured the key assets of Allsports from its
Administrator. We believe that since the disposal of the underperforming stores
the remaining Allsports stores offer an exciting opportunity to expand the
offering of JD to our customers.'
-ENDS-
Enquiries:
The John David Group Plc Tel: 0161 767 1000
Peter Cowgill, Executive Chairman
Barry Bown, Chief Executive
Brian Small, Finance Director
Hogarth Partnership Limited Tel: 020 7357 9477
Andrew Jaques
Barnaby Fry
Charlie Field
This information is provided by RNS
The company news service from the London Stock Exchange
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