Foot Locker Inc., the New York-based specialty athletic retailer, has entered into a definitive agreement to acquire Text Trading Co KK, which owns and licenses the Atmos brand, a digitally led, global retailer headquartered in Japan, for $360 million. The transaction will be funded with the company’s available cash.
Richard Johnson, chairman and chief executive officer of Foot Locker, Inc. said, “Atmos is uniquely positioned through its innovative retail stores, high digital penetration, and distinctive products that have made it a key influencer of youth and sneaker culture. With Atmos, we are executing against our expansion initiative in the rapidly growing Asia-Pacific market, establishing a critical entry point in Japan and benefitting from immediate scale. We are thrilled to bring Atmos into our portfolio of brands and build on the strong foundation of this differentiated business. We look forward to welcoming Atmos’s highly respected founder, Hidefumi Hommyo, who is considered one of the most influential people in streetwear and sneaker culture, along with the rest of the valued Atmos team and their customers, to the Foot Locker family.”
Hidefumi Hommyo, founder of Atmos, said, “Atmos was founded in 2000 as a small retail store in the back streets of Ura-Harajuku. Our passion for sneaker culture and ability to connect with our customers have been the driving forces of our growth ever since. Importantly, Foot Locker shares this passion, and we are excited to join forces with them to propel atmos into our next phase of growth.”
Evercore is serving as financial advisor to Foot Locker, and DLA Piper LLP is serving as its legal advisor.