Dick’s Sporting Goods is set to acquire Foot Locker for $2.4 billion, its largest acquisition yet. However, the deal has sparked concerns among investors and analysts, who question whether Dick’s can successfully turn around Foot Locker’s fortunes. The two retailers operate differently, with Foot Locker having stores in malls worldwide and Dick’s primarily running big-box locations in suburban areas.
Wall Street is worried that Dick’s lack of experience in reviving outside brands could be a major issue. Mary Dillon, the CEO of Foot Locker, has a track record of turning around Ulta Beauty, but some analysts wonder if she can replicate her success with Foot Locker. The deal also relies heavily on Nike, and both retailers are reportedly reliant on the brand.
While Dick’s hopes to gain market share in the sneaker market by acquiring Foot Locker, many question whether it has the necessary expertise to succeed. The acquisition comes at a time when Foot Locker is struggling, and investors are cautious about Dick’s ability to turn things around.
Source: https://fortune.com/2025/05/16/dicks-sporting-goods-foot-locker-deal-mary-dillon-ceo