JD Group hikes outdoor sector business with £112.3m acquisition

Retailer JD Sports Fashion Plc has acquired Go Outdoors Topco Limited for £112.3m.

Bury-headquartered JD this morning (November 27) announced that it has snapped up 100% of the Sheffield-based firm’s issued share capital and assumed a net debt of around £16m as part of the deal.

Founded in 1998 by Paul Caplan and John Graham and backed by YFM Equity Partners, Go Outdoors encompasses a UK-wide network of 58 stores.

During the 53 weeks to January 31 2016, the company pulled in a pre-tax profit of £4.9m against a revenue of £202.2m.

JD believes the transaction will strengthen its foothold in the outdoor market, through which it already generates more than £155m annually with its Blacks, Millets, Ultimate Outdoors and Tiso brands.

The firm’s existing network of 182 outdoor-focussed stores (as of January 2016) are primarily located on the high street, while most Go Outdoors shops are based at out-of-town retail parks.

JD’s executive chairman, Peter Cowgill, said: “Go Outdoors is a great addition to our existing Outdoor business.

“The minimal overlap in store locations and their out of town, one stop retailer approach complements the work we have done on the high street with Blacks and Millets and further strengthens our offering in the outdoor sector.”

He added: “I am excited by the future prospects this holds for the JD Group.”

Following the acquisition, which follows news of JD growing its half-year profits by 73%, Go Outdoors founders Paul and John will leave the company.