Dick’s Sporting Goods announced early Thursday that it will acquire Foot Locker in a $2.4 billion deal.
The Findlay-based company said it plans to operate Foot Locker as a standalone business and maintain its brands.
The acquisition will place Dick’s, already one of the largest domestic sporting goods company, into the international market with about 2,400 Foot Locker locations in 20 countries. Among those locations are other brands owned by Foot Locker such as Kids Foot Locker, Champs Sports, WSS and atmos.
Last year, Foot Locker had worldwide sales of $8 billion.
“Sports and sports culture continue to be incredibly powerful, and with this acquisition, we’ll create a new global platform that serves those ever-evolving needs through iconic concepts consumers know and love, enhanced store designs and omnichannel experiences, as well as a product mix that appeals to our different customer bases,” Dick’s CEO Lauren Hobart said.
Foot Locker will be the latest and largest addition to Dick’s brand portfolio, which also includes retailers like Golf Galaxy, Public Lands and Going Going Gone! as well as the youth sports app GameChanger.
In the announcement, Dick’s said it intends to finance the acquisition through a combination of cash-on-hand and new debt.
Though the boards of directors of both Dick’s and Foot Locker gave the green light for the deal, the transition will still require approval from regulators and Foot Locker shareholders. According to the announcement, Foot Locker shareholders can opt to receive either $24 in cash or 0.1168 shares of Dick’s stock for each Foot Locker share.
“We are pleased to provide shareholders with a transaction structure that offers the choice of significant and immediate cash value or the opportunity to invest in the combined company and benefit from the substantial upside potential,” Foot Locker CEO Mary Dillon said.
Dick’s will host a conference call on Thursday at 9 a.m. to discuss the proposed acquisition. The deal is expected to close in the second half of 2025.
