Dick's Sporting Goods to buy struggling shoe chain Foot Locker for $2.4 billion

MICHELLE CHAPMAN

Thu, May 15, 2025, 3:22 AM 1 min read

Dick’s Sporting Goods is buying the struggling footwear concatenation Foot Locker for astir $2.4 billion, the 2nd buyout of a large footwear institution this twelvemonth arsenic concern leaders conflict with uncertainty implicit however U.S. President Donald Trump’s tariffs connected overseas goods volition impact companies that marque overmuch of their products overseas.

Dick’s said Thursday that it expects to tally Foot Locker arsenic a standalone portion and support the Foot Locker brands, which includes Kids Foot Locker, Champs Sports, WSS, atmos and its namesake.

Earlier this period Skechers announced that it was being taken backstage by the concern steadfast by 3G Capital successful a transaction worthy much than $9 billion.

Foot Locker shareholders tin take to person either $24 successful currency oregon 0.1168 shares of Dick’s communal banal for each Foot Locker stock that they own.

The footwear manufacture has been increasing progressively acrophobic implicit Trump’s commercialized warfare with different countries, peculiarly China. Athletic footwear makers person invested heavy successful accumulation successful Asia.

Shares of sporting goods and diversion footwear companies person been nether unit each year.

About 97% of the apparel and shoes purchased successful the U.S. are imported, predominantly from Asia, according to the American Apparel & Footwear Association. Using factories overseas has kept labour costs down for U.S. companies, but neither they nor their overseas suppliers are likely to absorb terms increases owed to caller tariffs.

Dick’s said that it anticipates closing connected the Foot Locker woody successful the 2nd fractional of the year. The transaction inactive needs support from Foot Locker shareholders.