Hudson Holdings Limited, the holding company of Malta-based retailer Hudson Group, is currently in talks with international retail giant Frasers Group plc about bringing some of its brands to Malta, including Sports Direct.

This came in an announcement on Wednesday, whereby Hudson Group stated that Hudson Holdings has signed a non-binding letter of intent dated 10th October 2023 with Frasers Group, allowing the latter to make a “significant investment” in the business.

Hudson Group

Through this shareholding, Hudson Group, including its wholly-owned subsidiary Hudson Malta Sales Ltd, will be entitled to obtain the rights to operate some of Frasers Group’s brands locally.

Based in the UK, Frasers Group is best known for trading predominantly under the widely popular sports retail brand Sports Direct. It also owns retailers such as Jack Wills, GAME, Flannels, USC, Lillywhites and Evans Cycles, as well as department store House of Fraser, where it gets the company's name from. The company was established in 1982 by Mike Ashley, and has since grown to become one of the UK’s largest sports-goods retailers.

As of 2022, there are 715 Sports Direct stores across the world. Customers residing in Malta have been able to purchase items from Sports Direct for a while through its online website, yet the news could mean that they will be able to buy products from a physical store instead.

Hudson Group added that its shareholders are “confident” that this partnership will “accelerate and further supplement the growth and expansion strategy of the business”.

Through the letter of intent, the two parties have entered into a non-binding exclusive period “with a view to concluding the mentioned transaction”.

Additionally, Frasers Group will also look to agree a retail and franchise agreement for the expansion across the Hudson markets of its Sports Direct and other brands.

Sports Direct

Hudson Group’s Board of Directors clarified that notwithstanding the execution of the letter of intent, there is still “no certainty” that the negotiations underway will result in the aforementioned transaction.

It added that it will keep the market informed about any developments regarding the transaction, including material aspects of a corporate and business restructuring that may be undertaken by Hudson Group.

Primarily involved in the sportswear and fashionwear sectors, Hudson Holdings was established in 2006, yet the group’s roots go as far back as 1987, when Hudson started selling NIKE in Malta. It represents a number of international brands locally, including NIKE, Intersport, Ted Baker, Converse, Crocs, Kiabi, and Mang, among others. Hudson also has a direct retail presence in other European countries and in Africa, particularly through its homegrown sneaker store Urban Jungle.