JD Sports acquires U.S. based lifestyle retail chain

United States
Published:  02 February, 2021

JD Sports Fashion entered into a conditional agreement on January 31 for the acquisition of 100% of DTLR Villa, a U.S. based lifestyle retail chain with over 250 stores in 19 states.

JD Sports said the deal is valued at US$495 million, of which approximately US$100 million will be used to repay existing debts of the company. The DTLR Management Team is headed by Glenn Gaynor and Scott Collins, who will be continuing in their roles as Co-CEOs, and will also be reinvesting a portion of their proceeds back into DTLR in exchange for a new minority stake of approximately 1.4%, according to JD Sports. “The acquisition of DTLR, with its differentiated consumer proposition, will enhance the Group's presence in the north and east of the United States complementing not only our existing JD and Finish Line fascia’s but also the recent acquisition of Shoe Palace which is based on the West Coast”, said JD Sports.

Headquartered in Baltimore, Maryland, DTLR is currently majority owned by BRS & Co. and Goode Capital. The company was established in 1982 and is an athletic footwear and apparel streetwear retailer, which was originally named Downtown Locker Room, and later re-branded as DTLR. In 2017, it merged with Sneaker Villa, and currently operates from 247 stores across 19 states, principally in the north and east of the United States.

In the year ended February 1, 2020, DTLR delivered an EBITDA of US$45.6 million and a profit before tax of US$1.6 million. The gross assets in the DTLR balance sheet were US$293.7 million.

Credit: DTLR