Sportswear retailer JD Sports is said to be one of a “number of parties” in talks to invest in e-commerce retailer Missguided.
The proposed acquisition could see the sports company gain full control over Missguided, with neither company confirming the offer as of this moment.
According to a report by Sky News, JD Sports is looking for the “acquisition of a controlling interest” in the trend-led e-commerce brand, with its founder Nitin Passi supposedly unclear on whether he would approve a majority stake.
Missguided was founded in 2009 by Passi, using a 50 thousand pound loan, and has since grown to be a major fashion e-commerce platform, without the need to raise money according to its founder.
Back in April, it was reported that Passi was looking to sell a stake in the company in order to further its international growth. The retailer appointed Rothschild bankers, who they continue to work with, to look into potential investors, with Passi stating at the time: “We can still grow this business as we are but we want to grow the business more aggressively.”
The trend-led retailer has also recently partnered with Asda on bringing its products to Asda stores and its online website, as part of the supermarket chain’s goal to appeal to younger consumers.
JD’s acquisition train
JD Sports has arranged a flurry of acquisitions over the past year, seeing the company spend a considerable sum on a number of European and American retailers, including Wellgosh, DTLR, Shoe Palace and Oi Polloi.
The sportswear giant also reportedly looked into the purchase of Topshop and Debenhams during their time of uncertainty last year, with Debenhams being snatched up by Boohoo and Topshop joining the Asos family in the end.
In February, the company stated it had raised a total of 464 million pounds through new shares in a bid to support future acquisitions. It said at the time, it was “exploring additional funding options with a view to increasing its flexibility to invest in future strategic opportunities”.