DICK'S Sporting Goods Acquires Foot Locker, Expands Global Retail Leadership

DICK'S Sporting Goods has completed its acquisition of Foot Locker, expanding its global sports retail leadership. The combined business operates over 3,200 stores and digital platforms across 20 countries. Foot Locker's portfolio of brands will continue under new leadership, with Ann Freeman appointed President of Foot Locker North America. The transaction is expected to generate $100-125 million in cost synergies and become accretive to EPS in FY2026.

DICK'S Sporting Goods, Inc. (NYSE: DKS) has successfully completed its acquisition of Foot Locker, Inc. (NYSE: FL), significantly expanding its global sports retail presence. The transaction, announced on May 15, 2025, was finalized on September 8, 2025, following regulatory approvals and shareholder votes [1].

The acquisition consolidates DICK'S Sporting Goods' leadership in the sports retail industry, with the combined entity operating over 3,200 stores and digital platforms across 20 countries. This includes a substantial footprint in North America, Europe, Asia, and Australia, as well as a licensed store presence in Europe, the Middle East, and Asia [2].

Foot Locker's portfolio of brands, including Foot Locker, Kids Foot Locker, Champs Sports, WSS, and Atmos, will continue to be operated under new leadership. Ann Freeman, a seasoned executive with over 26 years at Nike, has been appointed President of Foot Locker North America. Freeman will be supported by a senior management team that includes leaders from both DICK'S Sporting Goods and Foot Locker, as well as external hires [2].

The acquisition is expected to generate cost synergies of $100 to $125 million in the medium term, achieved through procurement and direct sourcing efficiencies. Additionally, DICK'S Sporting Goods anticipates the transaction to be accretive to earnings per share (EPS) in the first full fiscal year post-close (excluding transaction and other one-time costs) [1].

DICK'S Sporting Goods has financed the acquisition through a combination of cash on hand and new debt, including a $2.4 billion senior bridge term loan provided by Goldman Sachs Bank USA. The transaction was also subject to various regulatory approvals, including those from the Federal Trade Commission and the Securities and Exchange Commission [1].

The combined company is poised to leverage its expanded global presence to strengthen relationships with key brand partners, offering broader reach and enhanced visibility. This strategic move positions DICK'S Sporting Goods to continue its growth trajectory in the competitive sports retail market.

References:
[1] https://www.marketscreener.com/news/dick-s-sporting-goods-inc-completed-the-acquisition-of-foot-locker-inc-nyse-fl-from-a-group-of-ce7d59ded181f726
[2] https://sgbonline.com/dicks-sg-completes-foot-locker-acquisition-names-new-na-senior-team-led-by-nike-exec/