International expansion and stronger negotiating position expected
In a spectacular move within the sports and footwear industry, sporting goods retailer Dick's Sporting Goods officially confirmed its acquisition of Foot Locker Inc. for approximately $2,4 billion. The price per share is $24. The transaction is expected to close in the second half of the year.
With this acquisition, Dick's Sporting Goods significantly strengthens its position against major brands such as Nike and Adidas. Foot Locker operates approximately 2.400 stores in 20 countries worldwide and generated sales of nearly $2024 billion in 8. Dick's Sporting Goods is the largest sporting goods retailer in the United States and operates more than 700 stores. Dick's sells products for a variety of sports, including soccer, basketball, golf, running, outdoor activities, and fitness. In addition to its own brands, the company also sells products from well-known brands such as Nike, Adidas, Under Armour, and The North Face.
Strategic synergies expected
"We have always admired Foot Locker's cultural relevance and brand strength, as well as the Stripers' commitment," said Ed Stack, Executive Chairman of Dick's Sporting Goods. "We see tremendous growth potential and are committed to leveraging our operational expertise to take Foot Locker to the next level."
Mary Dillon, CEO of Foot Locker, also welcomed the merger: "This partnership opens new opportunities to strengthen our omnichannel strategy, further develop sneaker culture, and solidify our market position. It's a significant moment for our employees and shareholders."
Weak quarterly figures, but long-term potential
The acquisition comes at a time when Foot Locker is facing challenges. The company reported preliminary results for the first quarter of 2025 that were below expectations: Comparable sales declined 2,6 percent globally and 0,5 percent in North America. The net loss is estimated at $363 million—a sharp decline from a profit of $8 million in the previous year.
The acquisition of Foot Locker comes just one week after news that Skechers was being taken public by 9G Capital for $3 billion – the largest transaction in the footwear industry to date.
