November 26, 2024 – Global retail group Frasers Group, today announced the conclusion of an agreement for the acquisition of South Africa’s leading sporting, outdoor and recreation goods company, Holdsport Group (“Holdsport”) from Old Mutual Private Equity (“OMPE”) and Holdsport’s management.
Holdsport is a diversified business operating across retail, wholesale, manufacturing, distribution, and e-commerce, focused on the sport, outdoor, and recreation sectors across South Africa and Namibia. It incorporates Sportsmans Warehouse, and Outdoor Warehouse. The Acquisition will complement Frasers Group’s existing divisions, such as Shelflife, South Africa, a premium sneaker and streetwear store.
Holdsport’s sales for the financial year ended February 2024, exceeded R3 billion (GBP130 million).
The Holdsport group has demonstrated exceptional financial performance, with robust profit growth and strong cash flow, underscoring its value to Frasers’ strategic vision.
Acquisition Key for Expansion Strategy
With a total of 88 retail stores across South Africa and Namibia and a rapidly growing e-commerce offering, Holdsport’s network will act as a platform to expand Sports Direct across the region. Frasers Group will utilise this strong position to grow its sport, fashion and brand distribution presence, furthering the Group’s commitment to international expansion.
Holdsport has well-established relationships with major international brands, including Nike, Adidas, Asics, Hoka, and Garmin, supported by their own brand portfolio including First Ascent, Cape Storm and OTG.
Bradley Moritz, Holdsport, CEO, commented: “We are delighted with Frasers’ acquisition of Holdsport and their inaugural investment into Southern Africa. Frasers is a leading international player in the sports retail industry, and this is a strong vote of confidence in our business and our country”.
Existing Infrastructure Included in Deal
The acquisition will also include Holdsport’s warehousing and logistics infrastructure, that includes modern warehouses with capacity for growth and offices in Johannesburg and Cape Town, as well as a factory that supports local manufacturing and distribution.
This deal comes shortly after Frasers announced a significant investment into the Malta-based retail business Hudson Group, which operates sport, lifestyle and fashion stores and distribution of major global brands across 36 countries in Europe and North Africa.
Michael Murray, CEO of Frasers Group, said: “Holdsport has built an incredible brand and reputation across Southern Africa, and we see potential in combining their regional expertise and own brands with our scale and resources, establishing a strong platform for growth. This acquisition is a great step forward for us.”
The transaction is subject to customary regulatory approvals and is expected to close in the coming months.
