U.S. sporting goods retailer Dick's Sporting Goods Inc said it has agreed to make a 20 million pound ($31.75 million)investment in British sportswear retailer JJB Sports Plc.Dick's will purchase 18.75 million pounds ($29.76 million) in junior secured convertible notes and 1.25 million pounds ($1.98 million) in ordinary shares of JJB Sports, subject to approval of the Wigan, UK-based company's shareholders.Pittsburgh-based Dick's has also received an option to purchase an additional 20 million pounds in junior secured convertible notes of JJB in connection with a follow-on financing expected to take place in the first quarter of 2013.Upon full conversion of the notes, Dick's, the largest publicly traded U.S. sporting goods retailer, would become a controlling shareholder of JJB.
Dick?s Sporting Goods, Inc. (Dick?s) is a sporting goods retailer offering a range of brand name sporting goods equipment, apparel, and footwear in a specialty store environment. Shares of DKS traded higher by 0.1% or $0.05/share to $48.65. In the past year, the shares have traded as low as $29.10 and as high as $49.97. On average, 1695380 shares of DKS exchange hands on a given day and today's volume is recorded at 1265803.
Source
