Accent Group Limited (ASX:AX1) Forms Strategic Partnership with Frasers Group
Strategic Partnership
Accent Group Limited (ASX:AX1) has entered a long-term strategic relationship with Frasers Group plc to launch and operate Sports Direct in Australia and New Zealand. The partnership allows Accent to introduce Sports Direct, a leading global sporting goods retailer, to ANZ consumers with an initial rollout of at least 50 stores over the next six years.
Share Issue Details
As part of the agreement, Frasers Group will increase its shareholding in Accent to 19.57% by subscribing for 35,186,695 new Accent shares. The new shares are being offered at a 3.5% discount to Accent’s closing share price on the ASX on Friday, 11 April 2025. The subscription proceeds of approximately $60.4 million will fund the initial rollout of Sports Direct in ANZ. Completion of the arrangements is expected on 12 May 2025.
CEO Agreement
Accent has secured a new employment agreement with CEO Daniel Agostinelli, who will remain in his role for at least another three years, ensuring continuity in driving the company’s growth and the new Sports Direct business.
Future Expansion
The strategic alliance with Frasers provides Accent access to a broad portfolio of brands, including Everlast, Lonsdale, and Slazenger. Accent aims to expand Sports Direct to over 100 stores in the ANZ region, leveraging Frasers’ global brand relationships and operational expertise.
Executive Comments
CEO Daniel Agostinelli stated, “We are very pleased to announce a long-term strategic relationship with Frasers to open Sports Direct in Australia and New Zealand. This partnership represents a significant opportunity to bring a new and exciting global sports business to the ANZ markets.” Chairman David Gordon added, “The relationship with Frasers is a strategically important alliance that provides a material new growth opportunity for Accent.”
Motley Fool contributor Abbie Stokes has no position in any of the stocks mentioned. The Motley Fool Australia's parent company Motley Fool Holdings Inc. has no position in any of the stocks mentioned. The Motley Fool Australia has recommended Accent Group. The Motley Fool has a disclosure policy. This article contains general investment advice only (under AFSL 400691). Authorised by Scott Phillips.
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