Sports Direct-parent Frasers Group PLC reported the sale of Sports Direct Malaysia to its Southeast Asia partner MAP Active, which trades as PT MAP Aktif Adiperkasa Tbk. Frasers realized proceeds of $150 million from the sale.
Frasers said the sale “builds on the group’s existing partnership with MAP Active across Indonesia, Philippines, Thailand, Vietnam and Cambodia, complementing Frasers Group’s Southeast Asian market strategy to unlock efficiencies and streamline operations in the region.”
Under the terms of the sale, Frasers will enter “a long-term agreement under which MAP Active will further grow and develop Sports Direct in Malaysia, with a continuing income stream payable to Frasers.”
MAP Active will aim to open 350 new Sports Direct stores across the Southeast Asia region. Frasers currently operates 35 Sports Direct stores in Malaysia.
The deal is still subject to final approvals and adjustments.
Frasers Chief Executive Michael Murray commented: “MAP Active is a valued strategic partner, and this transaction further deepens our relationship as we accelerate Sports Direct’s growth across Southeast Asia. Together, we are creating a strong platform to deliver our ambitious growth plans. I look forward to continuing to work with the MAP Active team to unlock further value.”
V.P. Sharma, Group CEO of MAP Active, added: “Leveraging our local expertise and regional retail network, we look forward to offering more of Sports Direct’s world-class offerings to our customers across the region and unlocking new opportunities that create long-term value for both companies.”
Image courtesy Sports Direct/Frasers Group PLC
