Commercial Property News

Sports Direct, the sportswear retailer, is considering making a takeover bid for Blacks Leisure, it has emerged.

The company said that it is "evaluating a possible cash offer" for the struggling firm after Blacks' general meeting was adjourned at the end of last month.

However, Sports Direct said that a bid for the company is by no means a certainty.

Blacks was set to set to hold a vote on launching a £22 million fundraising plan, but the move was put on hold after Sports Direct - which already owns 28.5% of the retailer - said it would vote against the plan.

Sports Direct already has a wide range of retail commercial property in many towns and cites around the UK and any deal would increase its portfolio of stores further.

Freddie George, analyst for Seymour Pierce, said that an acquisition could give Sports Direct "significant synergies", including the ability to "optimise" its business property ownership, increase the range of products available and cut costs.

The news brought a 1.9p increase in Sports Direct's share price, taking it to 107.9p at 10:30 GMT.