Retailer JJB Sports Up For Sale, Warns Shares May Be 'Worthless'
JJB Sports has put itself up for sale and warned its shares may be worthless after "the struggling retailer failed to secure a fresh funding injection from investors," according to Jennifer Thompson of the FINANCIAL TIMES. JJB shares immediately fell 71% to $0.67 per share. The news "raises questions over the long-term future of the sports clothing and equipment chain," which operates from more than 180 outlets and employs more than 4,000 people in the U.K. and Ireland. JJB has spoken with shareholders and suppliers over the past month to "secure funding for a restructuring and turnaround." The company has already received new financing from its four largest shareholders -- Invesco, the Bill and Melinda Gates Foundation, Crystal Amber and Harris Associates -- in April as it "battled falling sales" (FINANCIAL TIMES, 8/30).