JD Sports and Pandora lead retailer confidence bounce with acquisition and sales growth ambitions

Sportswear retailer JD Sports is eyeing more acquisitions after raising €526m through a share placing.

Two high street retailers with sizeable footprints in Ireland have indicated they are confident about future trading despite lockdown restrictions.

Sportswear chain JD Sports - which has 16 stores in Ireland - said it is looking for yet more acquisitions on the back of raising £464m (€526m) through a share placing.

Earlier this week, JD Sports said it had reached agreement to buy US-based sports shoe retailer DTLR Villa for $495m (€410m).

JD said that in addition to the placing proceeds, it has £700m of debt facilities. It also had £1bn of cash prior to the DTLR deal.

Despite its stores being closed during Covid lockdowns, JD has continued to thrive with its strong online operation and last month raised its full-year profit view.

Online fashion retailers ASOS and Boohoo have also performed well during the crisis, but most store-based groups have struggled, with Philip Green’s Arcadia group and Debenhams collapsing into administration.

Meanwhile, Danish jewellery maker and retailer Pandora – which has nearly 20 shops in Ireland – said it expects to return to revenue growth this year for the first time in three years.

Pandora said sales in its fourth-quarter stood at 7.89bn Danish crowns (€1.06bn), compared with 7.96bn expected by analysts. Operating profit stood at 2.21bn crowns.

- additional reporting Reuters