JD Sports Fashion plc, a leading global retailer in sports fashion, has announced a definitive agreement to acquire all outstanding shares of Hibbett, Inc., an athletic-inspired fashion retailer, for $87.50 per share in cash. This transaction, valued at approximately $1.08 billion, represents a significant 21% premium over Hibbett's closing price on April 22, 2024, and a 29% premium to its 120-day volume weighted average price. This acquisition marks a pivotal step in JD Sports' strategy to expand its footprint in the United States, enhancing its position in the global sports fashion market.
The merger combines two customer-centric leaders in the athletic retail industry, offering an expanded platform for brand partners to distribute the latest in athletic fashion products. This strategic alignment is set to create substantial value for stakeholders and significantly bolster JD Sports' presence and offerings in the U.S. market.
Mike Longo, the President and CEO of Hibbett, will continue his leadership role, expressing enthusiasm for the new chapter ahead with JD Sports. "This transaction reinforces the strength of our brands and the dedication of our teams," said Longo. Jared Briskin will also step into the role of Chief Operating Officer of Hibbett, ensuring continuity in management and strategic direction.
Hibbett will maintain its headquarters in Birmingham, Alabama, preserving its established corporate culture and ongoing community commitments. The transaction, expected to close in the second half of 2024, is subject to customary closing conditions, including approval from Hibbett stockholders and regulatory approvals. Should everything go as planned, Hibbett will join the JD Sports family of athletic footwear and fashion retail brands and will cease to be a publicly traded company.
"This is a transformative step for JD Sports as we continue to execute our strategy of global expansion and enhancing our multi-brand platform," said Régis Schultz, CEO of JD Sports. The acquisition allows JD Sports to further meet the dynamic demands of global consumers by integrating Hibbett's well-established U.S. presence and complementary business operations.
Hibbett and its 3,313 stores nationwide will join JD Sports' impressive portfolio of companies that include Size?, Footpatrol, Finish Line, Shoe palace, DTLR, Livestock, Sprinter, Sport Zone, Perry Sport and Sizeer.
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