Demand for casual and sportswear has remained steady in South Africa, even after the COVID-19 pandemic, which accelerated a shift to working from home, prompting consumers to shop for comfortable footwear and leggings. Some still work from home two to three days a week.
The deal further bolsters TFG's sneaker and sports fashion businesses, which compete with international sports brands like Nike, as well as local rivals such as Mr Price's Studio 88 and UK footwear company Office, a unit of Truworths, which is also expanding in South Africa.
JD Sports said the deal is part of its global growth strategy to expand into underpenetrated markets and become a global athletic leisurewear "powerhouse".
"This partnership allows TFG to bring a new compelling international sports fashion offering to the South African market," Anthony Thunström, TFG CEO said in a statement.
TFG expects to launch the first new physical JD Sports stores by the end of the year, with more than 40 JD stores earmarked over the next five years in South Africa, Thunström added.
TFG's sportswear businesses are Sportscene, Totalsports and Sneaker Factory, which according to Thunström are already the destinations of choice for athletic and leisure sports apparel.
(Reporting by Nqobile Dludla; Editing by Sharon Singleton)
