A cool sporting goods retailer is making big moves this year. They’re shaking things up by buying out a major competitor, Foot Locker. Dick’s Sporting Goods, the OG in the game since 1947, is dropping a whopping $2.4 billion on this purchase. Foot Locker, a veteran since the ’70s, has about 700 spots nationwide, while Dick’s boasts over 750 stores. The acquisition is set to keep Foot Locker running independently in the Dick’s portfolio, so don’t worry, the Foot Locker name isn’t going anywhere.
What’s the deal with this merger, you ask? Well, CEO Lauren Hobart spilled the beans on a recent investor call, mentioning that the goal is to maintain two strong brands that cater to all kinds of shoppers. And hey, sneakerheads, get ready for some top-notch kicks because Nike loves both Dick’s and Foot Locker as their go-to wholesalers. But hold up, this merger might mean fewer sales down the line, so keep your eyes peeled for any discounts while you can.
But wait, there might be a hiccup on the horizon. Some folks are raising eyebrows over potential anti-competition issues with this acquisition. However, Hobart and the gang aren’t sweating it, claiming they don’t foresee any problems with the Federal Trade Commission. Foot Locker’s CEO, Mary Dillon, seems pretty stoked about the deal, mentioning how it’ll amp up the sneaker culture and enhance the overall shopping experience for their customers and brand partners. Sounds like a win-win, right?
Foot Locker has been having a rough time lately, with their shares taking a nosedive by 41% in 2025. Ouch. The merger news did give them an 80% boost, though, so maybe there’s hope on the horizon. In 2023, Foot Locker had to bid farewell to 400 struggling stores across the country, but they’re also planning to open up 280 new joints. With the merger in the works, some more Foot Locker stores might close their doors, but we’ll have to wait and see how that plays out by the end of the year.
On the flip side, Dick’s has been holding steady with their House of Sport concept, which they’ve been testing out since 2021. These concept stores are like sports wonderlands, featuring batting cages, golf simulators, and even rock-climbing walls. Hobart is gung-ho about expanding this concept, aiming for a cool 100 new locations by 2027. Mall owners are loving the foot traffic these spots are bringing in, so it looks like Dick’s is onto something good here. All in all, the sports retail game is getting a major shake-up, and it’ll be interesting to see how this all pans out in the coming months.
