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By
Reuters API
Published
Oct 30, 2018
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Sports Direct rescues Evans Cycles but will close stores

By
Reuters API
Published
Oct 30, 2018

Sports Direct, the sportswear group controlled by retail tycoon Mike Ashley, has added to an already lengthy list of UK investments by snapping up specialist cycling retailer Evans Cycles.

Reuters


Sports Direct purchased Evans Cycles for an undisclosed sum immediately after parent FW Evans Cycles (UK) Limited went into administration. Ashley warned he would only keep half of the chain’s 62 stores open.

The 97-year-old business employs around 1,300 staff.

Administrators PwC said Evans had been the victim of a “liquidity crunch” which reflected losses, capital expenditure requirements and tightening credit.

In August Sports Direct bought department store group House of Fraser for 90 million pounds ($114.6 million), while earlier this month it spent 95 million pounds buying the freehold of the Frasers store in Glasgow.

It also owns a raft of stakes in other UK retailers, including nearly 30 percent of Debenhams.

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