Sportswear retailer JD Sports Fashion said it had acquired US group Shoe Palace for $325 million.
Based in San Jose, California, Shoe Palace was established in 1993 by the Mersho family and currently had 167 stores, the vast majority of which traded under the Shoe Palace banner.
Shoe Palace was operated by four brothers from the Mersho family, who headed up the various operating functions across the business.
JD Sports agreed to pay $325 million in cash and also offered the Mersho brothers a 20% stake in its US holding company Genesis valued at about $356 million.
This acquisition would 'significantly increase the group's presence on the West Coast of the United States and strengthen its connection with the Hispanic and Latino consumers, who represent a significant proportion of Shoe Palace's customer base,' the company said.
Story provided by StockMarketWire.com