JD, a French sportswear retailer led by Regis Schultz, has announced the acquisition of Hibbett, a US-based company listed on the New York Stock Exchange. This move is seen as highly complementary to JD’s business and will strengthen its presence in communities across the south-eastern US where it currently has a limited presence. With Hibbett’s collection of over 1,000 stores, JD will double the number of sportswear stores it owns in the US to 2,100.
The deal is in contrast to the trend of American companies seeking deals on the UK stock market. Many recent takeovers, such as GXO Logistics’ acquisition of Wincanton and International Paper’s purchase of DS Smith, have involved American companies buying British listed firms. However, with Hibbett now part of JD’s acquisition strategy, this move marks a shift towards European companies expanding their operations in the US market.
The addition of Hibbett will also provide a stronger platform for JD to introduce its brand in the US market. The US market for sportswear is valued at $120 billion, making it the largest and most lucrative market globally. In comparison, the UK market is worth $10 billion. This acquisition will enable JD to tap into this vast potential and further expand its business in the US.
