• Accent Group to launch and operate Sports Direct retail business in Australia and New Zealand
• Frasers Group to increase shareholding in Accent to 19.57%
• New 3-year employment agreement with Accent CEO Daniel Agostinelli

Accent Group Limited (Accent) announces a long-term strategic relationship with Frasers Group plc (Frasers) to launch and operate the Sports Direct retail business in Australia and New Zealand (ANZ). Accent will be granted the right to launch and operate the Sports Direct business (including online) in ANZ for an initial 25-year term, with plans for an initial roll-out of at least 50 Sports Direct stores over the next 6 years, and ultimately sees an opportunity for 100 plus stores. Accent will also have access to Frasers' owned brand portfolio to sell within Sports Direct and other Accent stores. Frasers has agreed to subscribe for 35,186,695 new Accent shares (representing a further 5% shareholding in Accent) at a price of $1.718 per share, with the subscription proceeds of approximately $60.4 million to be used to fund the initial roll-out of the Sports Direct business in ANZ. Frasers has also agreed to a standstill arrangement, meaning Frasers will not be entitled to exceed a 26% relevant interest in Accent's shares for the 3 years after completion of the new share issue, subject to certain exceptions. Accent has also entered into a new employment agreement with current CEO, Daniel Agostinelli, who has committed to remaining as CEO for at least another 3 years.

Accent anticipates that there will be substantial capital and operating investments required to launch the Sports Direct business in Australia and New Zealand. The subscription proceeds of approximately $60.4 million will be used to fund the initial roll-out.

Accent plans to open at least 50 Sports Direct stores plus online over the next 6 years, leveraging the brand's proven operating model in the UK, Europe and South-East Asia. Accent ultimately sees an opportunity for 100 plus Sports Direct stores in the ANZ market.