Genesis Holdings, the current wholly-owned intermediate holding company of JD Sports Fashion in the US, bought all of the issued shares in the Shoe Palace Corporation and the members’ interests in Nice Kicks, according to a Tuesday, December 15, announcement.
“We could not imagine a better way to continue to build on the legacy of our family business. Through this combination with JD and Finish Line in the US, we have gained a strong global partner,” Shoe Palace CEO George Mersho said in the announcement.
Overall cash consideration for the purchase of the company is US$325 million, which is subject to “customary cash/debt and working capital adjustments,” of which US$100 million has been deferred and will be paid on different dates over the 12 months to come.
The group’s cash resources and current bank facilities are funding the cash consideration. Also, the Mersho Brothers, who operate Shoe Palace, have been issued equity in Genesis so that they will have 20% ownership of the enlarged group in the US.
Furthermore, many put and call options have also been agreed, to allow for exit opportunities at a later time for the Mersho Brothers, the announcement stated.
Want more news? Subscribe to CPI’s free daily newsletter for more headlines and updates on antitrust developments around the world.
Featured News
UK Probes Lindab’s Acquisition of HAS-Vent Amid Fears of Market Monopoly
Apr 28, 2024 by
CPI
Shein Faces EU Regulations Over User Data
Apr 28, 2024 by
CPI
Google Fights Back Against US Antitrust Lawsuit
Apr 28, 2024 by
CPI
US Homeland Security Establishes Blue-Ribbon Board with Tech CEOs to Advise on AI
Apr 28, 2024 by
CPI
FTC Accuses Amazon Executives of Using Disappearing Messaging Apps to Conceal Evidence
Apr 28, 2024 by
CPI
Antitrust Mix by CPI
Antitrust Chronicle® – Economics of Criminal Antitrust
Apr 19, 2024 by
CPI
Navigating Economic Expert Work in Criminal Antitrust Litigation
Apr 19, 2024 by
CPI
The Increased Importance of Economics in Cartel Cases
Apr 19, 2024 by
CPI
A Law and Economics Analysis of the Antitrust Treatment of Physician Collective Price Agreements
Apr 19, 2024 by
CPI
Information Exchange In Criminal Antitrust Cases: How Economic Testimony Can Tip The Scales
Apr 19, 2024 by
CPI