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Sports Direct says it won't gain £80m from JD's acquisition of Finish Line
Sports Direct made a strong denial of recent media reports regarding its holding in US firm Finish Line on Wednesday, after the Daily Mail claimed the company was set to rake in almost £80m as a result of the retailer's sale.
Athletic shoe retail giant JD Sports Fashion is set to snap up Finish Line in a deal worth £405.4m.
In the Mail's 'This is Money' section on Tuesday, it was claimed that Sports Direct had built up a 19.3% stake in Finish Line through the purchase of eight million shares, with the newspaper citing "documents".
As a result, FTSE 250-listed Sports Direct - which has had its fair share of controversy in recent years - would be in line for a £78.5m cash injection from the deal, the Mail said.
But on Wednesday, Sports Direct issued a very short statement to the market, refuting the report almost in its entirety.
"A headline in the Daily Mail on 1 May referred to 'Sports Direct's £80m gain' in relation to Sports Direct's holding in Finish Line," the statement noted.
"This figure is wholly inaccurate, as any gain to Sports Direct would be a fraction of that amount."
No further detail was offered by Sports Direct as to the gain it would see from the sale of the 550-store chain.