TORONTO, Ontario (BRAIN)—With its pending purchase of the Forzani Group, Canadian Tire Corporation will grow to more than 1,000 retail sports outlets across the country.
Canadian Tire is already the country's largest bike retailer, primarily focused bikes retailing for $500 and below and entry-level parts and accessories. It sells brands such as Schwinn, Raleigh and Supercycle.
The Corporation said on Monday that it entered into a support agreement with the Forzani Group Ltd. to acquiring all outstanding shares of the company for $26.50 in cash. The Forzani Group is Canada's leading sporting goods retailer with more than 500 stores under a dozen retail banners and annual revenue of $1.4 billion. More than 70 percent of Forzani's sales are in athletic apparel and footwear to complement Canadian Tire's focus on hard goods.
The deal is expected to close in the third quarter.