Distribution strategy unclear as Sports Direct buys House of Fraser

It is unclear if Sports Direct will seek efficiencies in distribution operations across the two retailers.

House of Fraser operates a national distribution centre in Wellingborough and an eCommerce Distribution Centre in Milton Keynes.

Sports Direct has a 800,000 sq ft DC in Shirebrook, near Mansfield (75 miles to the north of Wellingborough), as well as a smaller DC in Wigan.

For the year ended 28 January 2017, the House of Fraser group had gross assets of £946.3m and made £14.7m net profit.    

A recent plan to transform House of Fraser into a multichannel-led retailer failed to attract enough investment, and it was subsequently placed into administration.