EPF confirms buying UK's Sports Direct warehouse for RM562m

FILE PHOTO: Mike Ashley, founder and majority shareholder of sportswear retailer Sports Direct, leads journalists on a factory tour after the company's AGM, at the company's headquarters in Shirebrook, Britain, Sept 7, 2016.

 KUALA LUMPUR: The Employees Provident Fund (EPF) confirmed on Tuesday it was buying the UK’s Sports Direct warehouse for £120mil or RM562mil.

The EPF said the logistics property in Shirebrook, UK was currently occupied by Sports Direct International Plc. and will continue to be leased to it on a long-term basis. 

“This investment is an opportunity for the EPF to generate an assured income stream matching our risk return profile. 

“In line with EPF’s investment policies, comprehensive due diligence and robust governance standards were followed in completing the purchase of the logistics asset. This deal will complement and form part of the EPF’s UK real property portfolio,” it said. 

Earlier on Tuesday, Sports Direct, the sportswear retailer owned by billionaire Mike Ashley, confirmed the sale of the freehold to its Shirebrook logistics centre to Kwasa Logix Sportivo for just over £120mil in cash.