Advanced Sports International has purchased the USA’s largest bicycle retail chain Performance Bicycle.
The undisclosed sum acquisition includes the portfolio of 106 stores, own-label brands and online portals Performancebike.com and Nasbar.com.
The move sees the formation of a new company in Advanced Sports Enterprises, with the two becoming separate parts of the same company.
Patrick Cunnane, the current president of ASI, will become the CEO of the new company, while David Pruitt will head up the retail division.
“This move capitalizes on continuing changes in the bicycle industry,” said Cunnane. “ASI has seen remarkable growth over the last decade and, like so many of our customers, Performance has been an instrumental partner each step of the way. As our industry continues to evolve, ASE – with separate divisions focusing in wholesale/brand development and retail – is ready to grow.
Performance, like all customers of ASI’s brands, will continue to adhere to Minimum Advertised Price (MAP) and ASI distribution policies, promised Cunnane.
He said: “Our goal is to continue partnering with our customers to offer the best product at the best value and today’s announcement will help us do just that.”
“Competitive differentiation is absolutely critical given the historic shift we’re seeing in consumer buying behavior and the retail landscape as a whole. This new business model will provide tangible bene ts for both companies and will fuel the next round of growth for Performance. This will be great for our associates, our vendor partners and our customers. We’re very excited to move forward under this new structure,” said Pruitt.
The firm says that the move is reactionary to a changing consumer buying habit and as such will focus heavily on a seamless omni-channel brand and retail experience. Furthermore, the firm want to remain able to compete with other major cycling businesses, many of which have entered into the retail market with corporate stores or partnered retailers.