JD steps out after Cloggs rescue
JD SPORTS, the listed retail giant, has bought ailing footwear business Cloggs Online – which sells brands including Dr Martens, Fitflop, Converse, Vans and Hunter.
Bury-based JD has acquired the Birmingham-based business out of administration for an undisclosed sum.
Cloggs’ management are being retained and the business continue to be based in the West Midlands.
The sale of the business and assets secures the jobs of employees and was negotiated by joint administrators, Lila Thomas and David Acland from insolvency firm Begbies Traynor.
The old company will change its trading name to C G Realisations 2013 as part of the deal.
Peter Cowgill, executive chairman of JD Sports Fashion said: “The purchase of Cloggs presented a strategic opportunity for us to diversify our own online business.
“Cloggs’ casual footwear collection includes iconic brands such as Dr Martens, Fitflop, Converse, Vans and Hunter. We plan to invest heavily in the development of the website and work alongside these brands to develop the product range and customer base further.”
Lila Thomas, partner at Begbies Traynor, added: “This sale has not only protected vital jobs in the retail sector, but has also provided an ambitious company with the opportunity to expand its own business and turn around the fortunes of Cloggs.
“In a year in which the headlines have already been dominated by retail failures and job losses, this is a welcome good news story for the region and the retail sector.”
Law firm Squire Sanders advised JD Sports Fashion on the acquisition.
