Sports Direct Drops Takeover Bid For Blacks Leisure

Sports Direct today said it was pulling back its offer to acquire Blacks Leisure due to fears that key suppliers wouldn’t support Blacks if it took control, according to a story on SportsOneSource.com:

Blacks Leisure Group Inc.

“Sports Direct earlier this week blamed Blacks of leaking the names of suppliers that were unwilling to do business with Sports Direct. Blacks denied the allegation.

Now the retailer said in a statement Friday that it was aware certain key suppliers would not support a takeover. As a result, it was challenging to put a proper value on Blacks.

“Without clarification in relation to this issue, Sports Direct has been unable to finalize its views on the value of any potential offer,” said Sports Direct.

Sports Direct already owns 29% stake in Blacks Leisure. Sports Direct offered a complete takeover bid of £42 million for Blacks Leisure with a timeline of April 1, 2010.”