Sports Direct clarifies Agent Provocateur acquisition

Sports Direct clarified that it indirectly bought struggling lingerie retailer Agent Provocateur.

On Thursday Sports Direct, through Four Holdings, bought agent Agent Provocateur after it went into insolvency.

Sports Direct said on Tuesday that it has a 25% stake in Four Holdings, which it bought for £8.75m two years ago, not the £35m which had been reported.

Separately, the FTSE 250 company also warned that a devaluation of the euro against the dollar would affect its gross margin.

Sports Direct’s euro/dollar exchange rate is currently hedged at $1.46, which is due to expire at the end of the 2017 financial year and said it does not have euro/dollar hedging in place for the 2018 financial year.

The euro is currently up 0.15% against the dollar to 1.0598.