JD Sports linked with possible Missguided buy... again
JD Sports is again being talked of as a possible buyer for Missguided, the fast fashion firm that last week said its founder-CEO would step down and that it had called in Teneo as strategic advisors.
Industry sources told Thisismoney that JD is mulling buying into the company that’s currently seeking a partner with the infrastructure and platform to help it in the next stage of its recovery.
It’s unclear whether JD would come in as a partner or would want to buy the whole business.
JD was originally reported to be in talks about taking a stake in the struggling business last September. Neither Misguided nor JD confirmed those reports at the time.
In the event, turnaround specialist Alteri Investors took a 50% stake last December.
Misguided has been grappling with problems for several years with its issues pre-dating the pandemic and high costs having been identified as a particular problem for it.
Having been an online-focused operation, in the last decade it dived into giant physical stores in premium malls but later revised this ambitious physical retail expansion programme, closing the stores.
However, its clothing is currently available in physical concessions in around 100 Asda stores.
Despite its expansion plans and earlier predictions of a return to profitability, the pandemic and the subsequent supply chain crisis put paid to that.
Reports said that JD Sports’ interest in the company is at an early stage, despite the rumours last year.
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