Sports Direct International PLC said Oct. 21 that the company does not intend to make an offer to buy Goals Soccer Centres plc.
The British retailer is the largest shareholder in Goals Soccer with 18.92% ownership. In September, Sports Direct announced its plans to buy remaining shares of Goals Soccer for 5 pence per share.
Sports Direct said it could not complete the due diligence to take the offer forward as the company had "limited" and "fitful" access and cooperation from the Goals Soccer board to support a possible offer.
"At the same time the board of Goals continues to pursue the AMA process it set out on 29 August 2019, a process which, if successful, Sports Direct believes will result in significant dilution in value for those shareholders who do not participate in the AMA process and be to the detriment of certain creditors," Sports Direct added.
Goals Soccer started looking for buyers in August, soon after the company disclosed an accounting probe into "improper behavior" that began in 2010.