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April 15, 2019updated 16 Apr 2019 6:44am

JD Sports receives shareholder approval for Footasylum acquisition

UK-based JD Sports has announced that its offer to buy fashion retailer Footasylum has become wholly unconditional in all respects. 

UK-based JD Sports has announced that its offer to buy fashion retailer Footasylum has become wholly unconditional in all respects.

JD received acceptance in respect of a total of 78,176,481 Footasylum shares, representing around 75% of the issued share capital.

It also includes acceptances in respect of a total of 75,456,481 Footasylum shares, representing approximately 92% of Footasylum shares.

With this level of acceptances, JD will exercise its rights to compulsorily acquire the remaining Footasylum shares.

The deal was announced on 18 March values the entire issued and to be issued ordinary share capital of Footasylum at 82.5p a share in cash. It has an equity value of approximately £90.1m ($117.88m).

“We believe the combination of these two complementary businesses will deliver significant operational and strategic benefits going forward.”

JD Sports executive chairman Peter Cowgill said: “We are very pleased that this offer has been declared unconditional and look forward to welcoming the Footasylum team to our newly enlarged group.

“We believe the combination of these two complementary businesses will deliver significant operational and strategic benefits going forward.”

The retailer also wants Footasylum to cancel its admission to trading on AIM of the Footasylum shares by submitting an application to the London Stock Exchange.

Established in 2005, Footasylum offers a range of sports and casual footwear and apparel brands, as well as own label products.

Furthermore, Footasylum ’s non-executive directors Stephen Robertson and Brendan Hynes have resigned from the Board with immediate effect.

GCA Altium is serving exclusively for Footasylum as financial adviser and Nomad.