Foot Locker will buy a German shoe retailer
May 10, 2013 02:34 PM
Foot Locker Inc. has signed an agreement to buy Runners Point Warenhandelsges mbH, a Germany-based store and web retailer of athletic shoes and apparel.
Foot Locker, No. 51 in the new Internet Retailer Top 500 Guide, says it paid 72 million euros (US$93.4 million) for the company. Runner’s Point majority owner is private equity firm Hannover Finanz. The deal must win approval from German authorities.
Foot Locker is also No. 300 in the Top 400 Europe Guide. The company operates 518 stores in Europe, according to the guide, and took in European sales of $24.2 million in 2011, up 8.72% from the previous year.
Runners Point operates some 200 stores—most in Germany, with some in Austria, The Netherlands and Switzerland—and the Tredex online subsidiary. The company’s 2012 revenue reached 197 million euros (US$255.6 million), Foot Locker says.
"This acquisition will enhance our position in Germany, the strongest economy in Europe, and also provide us with additional banners to further diversify and expand our European business,” says Ken Hicks, chairman and CEO of Foot Locker. “We also intend to leverage Tredex's strong digital capabilities to accelerate growth in our own developing European e-commerce business."
Runners Point CEO Otto Hurler and chief financial officer Harald Wittig, along with other senior managers, will remain after the deal closes, Foot Locker says.