JD Sports’ attempted consolidation of the British sports-fashion market turned into a corporate scandal after it acquired Footasylum in March 2019. The Competition and Markets Authority concluded that common ownership could restrict competition and ordered JD Sports to dispose of the business. While that regulatory process was underway, JD chief executive Peter Cowgill allegedly met Footasylum chief executive Barry Bown covertly on two occasions in July and August 2021, despite a CMA order barring the exchange of commercially sensitive information without permission. One meeting was alleged to have occurred in a car park in Bury, the same Greater Manchester area where JD Sports began. JD Sports and Footasylum were ultimately fined a combined £4.7 million, turning what might have been an ordinary retail acquisition into a case study in alleged gun-jumping, executive secrecy, and the limits of corporate compliance during a merger investigation. The episode also contributed to the collapse of Cowgill’s position as JD Sports chief executive in 2022, giving the affair a direct leadership and reputational fallout.
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AI concept artworkArchive Record · 2020s
The Car-Park Meetings That Triggered a £4.7 Million Competition Fine
JD Sports and Footasylum / 2020s
JD Sports’ attempted consolidation of the British sports-fashion market turned into a corporate scandal after it acquired Footasylum in March 2019. The Competition and Markets Authority concluded that common ownership could restrict competition and ordered JD Sports to dispose of the business. While that regulatory process was underway, JD chief executive Peter Cowgill allegedly met Footasylum chief executive Barry Bown covertly on two occasions in July and August 2021, despite a CMA order barring the exchange of commercially sensitive information without permission. One meeting was alleged to have occurred in a car park in Bury, the same Greater Manchester area where JD Sports began. JD Sports and Footasylum were ultimately fined a combined £4.7 million, turning what might have been an ordinary retail acquisition into a case study in alleged gun-jumping, executive secrecy, and the limits of corporate compliance during a merger investigation. The episode also contributed to the collapse of Cowgill’s position as JD Sports chief executive in 2022, giving the affair a direct leadership and reputational fallout.
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