British sportswear giant JD Sports is going to launch 50 stores by 2028 in the Mena region through a franchise agreement with Dubai-based retailer GMG.
The openings align with the company’s plans to open 200-300 stores every year over the next five years, a stock market statement said.
CEO of JD, Regis Schultz, who has previously worked with Dubai conglomerate Al Futtaim Group’s retail division, said the deal was JD’s first franchise agreement.
“We are very pleased to be delivering this historic deal, the first franchise agreement JD has entered, in partnership with GMG,” said Mr Schultz.
“Through my own career, I have seen first-hand the massive untapped potential for retailers in the Middle East, and I am certain that GMG – with their expansive retail expertise and a local understanding of the customer – are the best partners for us in the region.”
JD Sports said in its LSE statement that the region has recently seen a heightened focus on health and wellness, which has driven strong growth in the athletic leisure market in the Middle East.
Deputy chairman and CEO of GMG, Mohammad A Baker, said: “This alliance is a testament to our commitment to enhancing the lives of consumers in the region, as we embark on a journey to provide them with unmatched choices and empower their active lifestyles.”
GMG has interests in the Mena and Asia and distributes sportswear brands including Adidas, Speedo and Wilson.
It also operates its own sports retail brand Sun, Sand & Sports, as well as supermarket retailers Geant and Aswaaq, and has health and beauty, properties and logistics divisions.
