Sports Direct buys Evans Cycles for 8 million pounds

Sports Direct has announced it has paid 8 million pounds (10.2 million US dollars) to buy British retailer Evans Cycles after it fell into administration.

Commenting on the Wednesday announcement in a statement, Sports Direct boss Mike Ashley said: “We are pleased to have rescued the Evans Cycles brand. However, in order to save the business we only believe we will be able to keep 50 per cent of stores open in the future. Unfortunately some stores will have to close.”

Sports Direct said it plans to keep half of Evans’ 62 stores.

Matt Callaghan, joint administrator and PwC partner at Evans, added: “2018 has been a very difficult trading year for the business, in part due to the impact of the extended winter weather in the early part of the year and a lack of cash to invest in stores and develop the online platform.”

The move comes as Ashley extends his reach on the UK high street, having bought House of Fraser out of administration for 90 million pounds in August.

Photo credit: Evans Cycles, Facebook