Sports Direct International PLC and JJB Sports PLC: A Report on the Acquisition by Sports Direct Int (BOK)
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On 07 August 2009, the Office of Fair Trading referred the completed acquisition of 31 JJB Sports plc (JJB) stores by Sports Direct International plc (Sports Direct) to the Competition Commission for investigation and report. Both JJB and Sports Direct are active in the retail supply of sporting and leisure clothing, equipment and footwear. In addition to its retail activities, Sports Direct owns a number of sporting and leisure brands. The transaction comprised the completed transfer of 31 stores from JJB to Sports Direct over a period between November 2007 and December 2008. The Competition Commission considered the likely scenario in the absence of the store transfers, which then provided the benchmark against which it assessed the effects of the transaction. Key contents include: the industry and the companies; the transaction; market definition; barriers to entry and expansion; effects on competition of the store transfers; and, findings.