Dick’s Sporting Goods announced its acquisition of Foot Locker in a transaction worth about $2.4 billion.
Foot Locker shareholders can can elect to receive either $24.00 in cash or 0.1168 shares of Dick’s Sporting Goods common stock for each share of Foot Locker common stock, Dick’s Sporting Goods shared in a public release. Dick’s Sporting Goods and Foot Locker expect to complete the acquisition transaction in the second half of 2025, pending shareholder approval, customary closing conditions, and regulatory approvals.
Based on the closing price of Foot Locker common stock on 5/14/2025, the $24.00 per-share consideration represents a premium of approximately 66% to Foot Locker’s 60-trading day volume weighted average price, according to the announcement.
Until the companies complete the transaction, Dick’s Sporting Goods only has stores in the United States at the moment. The Foot Locker acquisition would make it an international retailer.
Lauren Hobart, president and CEO of Dick’s Sporting Goods, said in the announcement that the retailer intends to “honor and amplify” the Foot Locker team’s “expertise and passion.”
“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,” she said.
Dick’s Sporting Goods ranks No. 31 in the Top 2000 Database. Prior to the acquisition, Foot Locker ranked No. 63. The database is Digital Commerce 360’s ranking of North America’s online retailers by their annual ecommerce sales.
About the Dick’s Sporting Goods acquisition of Foot Locker
In 2024, Foot Locker’s net global sales reached $7.97 billion. That was a decrease from $8.15 billion in 2023. It has about 2,400 retail locations across 20 countries in North America, Europe, Asia, Australia and New Zealand. It also has a licensed store presence in Europe, the Middle East and Asia.
Also in 2024, Dick’s Sporting Goods net sales reached $13.44 billion. That was a 3.5% increase over $12.98 billion in 2023 net sales. Prior to the acquisition, it only operated stores in the U.S. Dick’s Sporting Goods has more than 850 locations, including its Golf Galaxy, Public Lands and Going Going Gone stores.
Dick’s Sporting Goods said it expects to operate Foot Locker as a standalone business unit within its portfolio, maintaining its brands.
“By applying our operational expertise to this iconic business, we see a clear path to further unlocking growth and enhancing Foot Locker’s position in the industry,” said Ed Stack, executive chairman of Dick’s Sporting Goods, in the announcement. “Together, we will leverage the complementary strengths of both organizations to better serve the broad and evolving needs of global sports retail consumers.”
The announcement outlined five strategic and financial benefits to the Foot Locker acquisition for Dick’s Sporting Goods.
- It creates a global platform within the sports retail industry.
- Dick’s Sporting Goods can reach a broader set of consumers.
- It can strengthen relationships with brand partners through its global reach.
- Dick’s Sporting Goods can invest in future growth through its omnichannel features.
- It can “unlock operational efficiencies that create shareholder value.”
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