JJB jobs threatened by Sports Direct takeover
Thousands of JJB sports jobs are at risk as the struggling retailer is likely to be bought by competitor Sports Direct.
Mike Ashley, owner of Newcastle United, is the founder of the firm believed to be a forerunner for JJB, however he is only thought to be interested in half of the company’s 180 stores.
JJB Sports, which currently employs approximately 4,000 people, only makes profits from half of its shops, and a deal with the rival firm could result in mass job losses, with no buyer interested in the whole company.
Poor sales and dying profits caused the business to put itself up for sale in August, amid warnings that shares in the company were worthless.
The Wigan-based company announced on Thursday that it had invited offers of investment.
A statement said: “A number of parties have submitted offers to acquire the whole or substantially all of the business and assets of the Group.
“JJB continues to hold discussions with a number of parties but it is unlikely that any value will be attributable to the ordinary shares.”
The disclosure table on Monday morning’s London Stock Exchange did not name any offerors for JJB, although Sports Direct and JD Sports are both rumoured to be interested in parts of the company.
This was posted in Bdaily's Members' News section by Miranda Dobson .
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