Investment group Aurelius announced on Monday the acquisition of British streetwear and sportswear retailer Footasylum from British sportswear retailer JD Sports Fashion Plc, which has owned the company since 2019.
The transaction values Footasylum at around €45m (£37.5m). Full year 2022 sales are expected to exceed €340m (£287m) and an “attractive” margin before interest, tax, depreciation and amortization (EBITDA).
“Footasylum is a strong and trusted brand in the UK. We are happy to start the journey together. Throughout the acquisition process, we were impressed by Footasylum’s ‘hyperlocal’ approach. This aims to orientate oneself to the local community and to support it. We look forward to working with Footasylum, building on the existing online offering and expanding on the high street success,” commented Tristan Nagler, Partner at Aurelius, in a statement.
Footasylum goes to Aurelius
The omnichannel provider for streetwear and sportswear based in Rochdale, England, was founded in 2005 and operates 63 stores across Great Britain. The range of shoes, apparel and accessories – including third-party brands such as Nike, Adidas, TheNorthFace and NB – is also offered through seven of the group’s websites, own brands and department stores.
Specifically, Aurelius plans to closely support Footasylum’s management team in driving digitalization while further expanding the company’s retail footprint.
Footasylum will use the additional opportunities by further developing its own brand offering and building on the strong brand awareness. In addition, various initiatives are intended to improve profitability and make Footasylum “the number one address for fashionable streetwear and sportswear in Great Britain”.
“Footasylum has long been a staple of the UK high street and an established destination for shoppers looking for quality branded sportswear. As an independent company, Footasylum has the opportunity to develop into an innovative sportswear retailer. We want to realize the full potential of the company. We are convinced that Aurelius is ideally positioned to support this transformation of Footasylum. This is where our extensive operational expertise in retail, digital and wholesale comes into its own,” explains Dirk Markus, founding partner of Aurelius.
The transaction will be executed through Aurelius’ co-investment structure consisting of the Aurelius European Opportunities IV Fund and Aurelius Equity Opportunities. The transaction is scheduled to close this month.