British Sporting Goods Retailer Sports Direct Shares General Merchandise Group

< p > the largest sporting goods retailer in the UK, SportsDirectInternationalPLC (SPD.L), acquired 81.6 of the DebenhamsPLC (DEB.L) 4.6% of the second largest department store in the United Kingdom, and the SportsDirectInternationalPLC (SPD.L) cost 46 million pounds based on the 81.6 Pence of DebenhamsPLC (DEB.L) closing price on Friday.

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< p > this paction did not inform the board of directors of DebenhamsPLC (DEB.L) beforehand, but < a href= "http://www.91se91.com/news/index_c.asp" > SportsDirect < /a > InternationalPLC (SPD.L) indicated that it had expressed willingness to cooperate with the board of directors.

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< p > SportsDirectInternationalPLC (SPD.L) stated in the statement that it hoped to explore opportunities for cooperation with DebenhamsPLC (DEB.L) at the operational level.

DebenhamsPLC (DEB.L) also announced that it had an "open attitude" to cooperation that helped enhance its performance.

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< p > analysts speculate that the former will make use of the shares in their hands as bargaining chips and negotiate with a href= "http://www.91se91.com/news/index_c.asp" > Debenhams < /a > PLC (DEB.L) to introduce Firetrap, Kangol and other fashion brands to DebenhamsPLC (Firetrap), and the cooperation between them will be beneficial to both sides.

But CantorFitzgerald analyst FreddieGeorge told Reuters that the deal should not be overly interpreted because the liabilities of SportsDirectInternationalPLC (SPD.L) will thus increase to 160 million.

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< p > DebenhamsPLC (DEB.L) January 13th a href= "http://www.91se91.com/news/index_c.asp" > share price < /a > 86.90 pence, with a maximum increase of 7.5%, closing 85.65 pence throughout the day, and the increase narrowed to 5.03%.

SportsDirectInternationalPLC (SPD.L) fell 1.12% to 747.50 pence throughout the world.

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< p > DebenhamsPLC (DEB.L) is a poor British retailer in the Christmas season.

In the first 17 weeks ended December 28, 2013, DebenhamsPLC (DEB.L) same store sales increased by only 0.1%, and the "final sales spurt" before Christmas could not be achieved.

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< p > DebenhamsPLC (DEB.L) plans to further clean up the inventory through discount sales in 1 and February. Therefore, gross profit margin in the first half of the year is expected to drop by 80-100 basis points over the same period last year. Pre tax profits will be reduced from 26% to 85 million pounds from 114 million 700 thousand pounds a year earlier, far lower than analysts estimate of 1.10-1.20 billion pounds, and second profit warning in one year.

Due to poor performance, DebenhamsPLC (DEB.L) has lost 22.4% of its market value in the past three months.

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< p > SportsDirectInternationalPLC (SPD.L) is owned by the British billionaire and Newcastle Premier MikeAshley of the Premier League.

MikeAshley last year tried to acquire HouseofFraser, another British Department Store Group, which is now on sale with GaleriesLafayette's department store.

Liberum analyst SanjayVidyarthi told reporters that SportsDirectInternationalPLC (SPD.L) would not be able to fully buy DebenhamsPLC (DEB.L) because there was no overlap between product categories.

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< p > SportsDirectInternationalPLC (SPD.L) has an annual income of 2 billion pounds, its share price has increased seven times in the past four years, its market value has reached 4 billion 500 million pounds, and the market value of DebenhamsPLC (DEB.L) is about 1 billion pounds.

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< p > opened a large number of Direct stores in the United Kingdom and in Ireland and Denmark, and set up franchise stores in many other countries.

The company has a long history. Since its opening in London's first store in eighteenth Century, the company has 153 stores by the end of October 2011, and has more than 103 thousand and 730 square feet of business space in the UK and Ireland.

In addition, it has more than 40 franchise stores all over the world.

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In 1818, the company opened its first branch in England in Southwest China. 32 years later, in 1851, Clement Freebody became a partner, and was renamed Debenham & Freebody company again.

In 1905, Debenham Limited was formally established.

Debenham group, during its presidency, Ernest Debenham, has made considerable progress in acquiring various department stores.

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