JD Sports Fashion acquires US-based Shoe Palace

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Sportswear retailer JD Sports Fashion said its US-based holding company Genesis had acquired Shoe Palace.

Based in San Jose, California, Shoe Palace was established in 1993 by the Mersho family and currently had 167 stores, the vast majority of which trade under the Shoe Palace banner.

Shoe Palace was operated by four brothers from the Mersho family, who head up the various operating functions across the business.

Under the terms of the deal, the company agreed to pay $325 million in cash and offer the Mersho Brothers a 20% stake valued at approximately $356 million in Genesis.

This acquisition would 'significantly increase the group's presence on the West Coast of the United States and strengthen its connection with the Hispanic and Latino consumers, who represent a significant proportion of Shoe Palace's customer base,' the company said.