UK's JD Sports expands into Mexico through Grupo Axo partnership 

Sept 21 — British sportswear retailer JD Sports on Monday ​announced its expansion into Mexico through a long-term franchise partnership with fashion retailer ‌Grupo Axo, betting on strong demand from Mexico's growing young ⁠population.

Here are some ​more details:

• JD cut ⁠its profit outlook after weak demand ‌from its core ‌younger and less affluent customer base hit ⁠its North American ⁠market of US and Canada, which accounts for over a third of its sales.

• Under the agreement, Axo will operate JD stores and e-commerce in Mexico, using JD's brand ‌and intellectual property, with ​the two companies also leveraging JD's own-brand and exclusive product portfolio across footwear, apparel and accessories.

• JD said Axo will operate more than 140 of its premises in the country, through Axo's existing sneaker stores, ​with plans to upsize stores at key ‌locations over time.

• "We ‌see ⁠a significant opportunity to lead the category in Mexico" said CEO Régis Schultz.

• The deal expands JD's franchise platform, which currently spans 75 JD ‌and Courir franchise ​stores across Europe, the ‌Middle East, Africa ⁠and ​Asia.

(Reporting by Simone Lobo in Bengaluru; Editing by Nivedita ​Bhattacharjee)

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