Foot Locker confirms deals to spend $1.1 billion to buy retailers WSS and atmos

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Foot Locker Inc. FL, +0.46% is spending $1.11 billion in cash to buy two retailers in separate deals for companies with retail brands WSS and atmos, with both deals expected to close late in the third quarter. The deals were reported earlier by The Wall Street Journal. Foot Locker's stock rose 0.3% in premarket trading. Foot Locker said it was paying $750 million to buy U.S.-based athletic footwear and apparel retailer Eurostar Inc., or WSS. The retailer, which generated $425 million in revenue in fiscal 2020, operates 93 off-mall stores in California, Texas, Arizona and Nevada. Foot Locker is also spending $360 million to buy Japan-based Text Trading Co. K.K., which owns the atmos brand of sneakers and apparel. Atmos recorded $175 million in revenue in fiscal 2020, and has 49 stores globally including 39 stores in Japan. Foot Locker's stock has rallied 41.1% year to date, while the S&P 500 SPX, -0.54% has advanced 17.0%.

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