In an acquisition that will provide Dick’s Sporting Goods with an international presence for the first time, the retailer has agreed to purchase the 2,400-store Foot Locker chain. The transaction, which is expected to close in the second half of 2025, values Foot Locker at approximately $2.5 billion. Foot Locker shareholders can receive either $24 per share in cash or 0.1168 shares of Dick’s common stock for each share they hold.
Dick’s plans to operate Foot Locker as a standalone business unit and maintain the Foot Locker brands, which include Kids Foot Locker, Champs Sports, WSS and Atmos. Foot Locker’s store footprint encompasses 20 countries in North America, Europe, Asia, Australia and New Zealand, as well as a licensed store presence in Europe, the Middle East and Asia.
“By joining forces with Dick’s, Foot Locker will be even better positioned to expand sneaker culture, elevate the omnichannel experience for our customers and brand partners, and enhance our position in the industry,” said Mary Dillon, CEO of Foot Locker in a statement. “We are pleased to provide shareholders with a transaction structure that offers the choice of significant and immediate cash value or the opportunity to invest in the combined company and benefit from the substantial upside potential.”
Multiple Store Formats for Diverse Customer Groups
The newly combined company is aiming to serve broader groups of customers, from performance-focused athletes to sneakerheads, with differentiated retail concepts that build on learnings from Dick’s House of Sport and Foot Locker’s Reimagined Concept stores. Additional goals include strengthening relationships with brand partners via the company’s newly global reach by offering multiple platforms for both established and emerging partners to showcase their assortments, connect with athletes and increase their visibility.
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“We have long admired the cultural significance and brand equity that Foot Locker and its dedicated Stripers have built within the communities they serve,” said Ed Stack, Executive Chairman of Dick’s in a statement. “By applying our operational expertise to this iconic business, we see a clear path to further unlocking growth and enhancing Foot Locker’s position in the industry.”
The acquisition is expected to unlock operational efficiencies that will deliver $100 to $125 million in savings in the medium term, achieved through procurement and direct sourcing efficiencies.
For its 2024 fiscal year, which ended Feb. 1, 2025, Foot Locker had $7.9 billion in net sales, down from the $8.1 billion generated in FY 2023. Dick’s net sales for its FY 2024, which also ended on Feb. 1, were $13.4 billion, up from $12.9 billion the previous fiscal year.
