(Reuters) – JD Sports Fashion said on Monday it would buy Baltimore-based DTLR Villa LLC for $495 million as Britain’s biggest sportswear retailer further expands its presence in the United States market, sending its shares about 7% higher.
The acquisition of DTLR, an athletic footwear and apparel streetwear retailer, is JD’s second U.S. purchase in less than two months after it bought West Coast-focused Shoe Palace in December.
DTLR, which was established in 1982, is majority owned by BRS & Co and Goode Capital and operates from 247 stores across 19 states, mostly in the north and east U.S.
JD, which also owns Footpatrol and Cloggs, entered the U.S. market in 2018 with the acquisition of Finish Line.
The DTLR management team of Glenn Gaynor and Scott Collins, will continue in their roles as co-chief executive officers.
Although Britain’s retail sector was struggling before the COVID-19 pandemic hammered it, JD has generally outperformed rivals by targeting younger consumers with popular athleisure products.
Last month, JD raised its full-year profit view on the back of strong online sales during the lockdowns.
Reporting by Aby Jose Koilparambil in Bengaluru; Editing by Shounak Dasgupta