Bury-based FTSE 100 retailer JD Sports Fashion plc said on Friday it will pay €500.1 million to buy out the minority investors in its Iberian business as it makes progress with its ambitious expansion plan.

JD Sports said it would buy the 49.98% of shares in Iberian Sports Retail Group (ISRG) currently held by Balaiko Firaja Invest and Sonae Holdings, giving it 100% ownership.

The group had said on May 9 it was in talks over the future ownership of the unit, which trades from over 460 stores.

In a stock exchange statement, JD Sports said: “Further to the announcement on 9 May 2023, JD Sports Fashion Plc announces its intention to acquire the remaining 49.98% shares in ISRG that are currently held by Balaiko Firaja Invest, S.L. and Sonae Holdings, S.A. for total cash consideration of €500.1 million which will be funded from the group’s existing available cash resources.

“Upon completion, the Group will own 100% of ISRG.”

JD Sports CEO Régis Schultz said: “At our Capital Markets Event earlier in the year, we emphasised the benefit of having strong complementary concepts to support our ‘JD first’ global growth strategy.

“ISRG is a highly successful business and one of the leading players in sports retail in Iberia. By bringing the two businesses closer together, there is significant potential for accelerating growth.

“We sincerely thank the minority shareholders, Balaiko and Sonae, for their important contributions to the business during our time as partners.”