JD Sports has sold its majority stake in Total Swimming Group.
- The retailer held a 60% share in the company since a 2022 agreement.
- The sale involves former Olympians Steve Parry, Rebecca Adlington, and Adrian Turner.
- JD Sports executives have resigned from directorship roles following this transaction.
- The company’s financial performance shows increased revenue and profit margins.
JD Sports, a prominent retail company based in Greater Manchester, has divested its majority shareholding in Total Swimming Group, a firm co-founded by former Olympians Steve Parry, Rebecca Adlington, and Adrian Turner. Originally, JD Sports acquired a 60% share in Total Swimming Group in 2022. The company aims to make swimming more accessible, highlighted by its initiative ‘Swim!’, which is the first UK multi-site operator of children’s learn-to-swim centres.
As part of this restructuring, key figures from JD Sports including CEO Regis Schultz, CFO Dominic Platt, and General Counsel Theresa Casey have resigned from their board positions at Total Swimming Group. Additionally, Amelia Worrall has been appointed as a director, with the company now under the control of We are Swim Holdings Limited, led by Therese Briant as sole director.
The financial details of the initial acquisition included a cash consideration of £11.1 million, and the potential for an additional £4 million subject to future performance metrics and closing conditions. The transaction’s impact on the leadership team marks a significant shift in the governance of Total Swimming Group, with Turner stepping down, while Adlington and Parry remain as directors.
Despite these changes, JD Sports has recorded robust financial performance in the first half of the year. The company’s revenue exceeded £5 billion for the 26-week period ending on the 3rd of August, 2024, reflecting a 5.2% increase compared to the previous year. Furthermore, pre-tax profits rose by 2% to reach £405 million, with earnings per share increasing by 4.5%. This growth coincides with JD Sports’ strategic acquisition of the American retailer, Hibbett, earlier in 2024 for £878 million.
This divestment aligns with JD Sports’ strategic business adjustments amid robust financial growth.
