WSS Acquisition, Valuation, Funding & Investors

WSS was acquired by Foot Locker for $750M in August 2021, a 1.8x multiple on $425M of revenue.

See full WSS profile

WSS acquisition price

$750M

Acquired by Foot Locker · Aug 2021

WSS revenue at acquisition

$425M

Last twelve months · Aug 2021

WSS revenue multiple at acquisition

1.8x

EV/Revenue · Aug 2021

Cumulative funding WSS raised

$40M

across 1 funding round

WSS Overview

About WSS

WSS is a Southern California-based footwear retailer operating large-format stores across the western United States, stocking athletic, casual, dress, and fashion shoes from brands including Nike, Jordan, Vans, Converse, Adidas, Puma, and Skechers. The chain emphasizes family-oriented selections with exclusive private labels and frequent promotions. With locations in Los Angeles, San Diego, and Las Vegas, WSS caters to urban communities through expansive inventories exceeding thousands of styles per store.


Founded

1984

HQ

United StatesLos Angeles, CA

Status

Acquired

Customer focus

B2C

Revenue model

Product sales

Revenue

$425M (Aug 2021)

Valuation

$750M (acquired Aug 2021)

WSS Acquisition

WSS was acquired by Foot Locker for $750M on 2 August 2021.

The acquisition price implies a 1.8x revenue multiple on $425M of revenue.

Before the acquisition WSS had raised $40M across 1 funding round.

WSS was a U.S.-based athletic footwear and apparel retailer operating primarily on the West Coast through a neighborhood-based store model with strong community engagement. The company generated approximately $425 million in revenue in fiscal year 2020 and demonstrated a three-year revenue compound annual growth rate of approximately 15%. Foot Locker acquired WSS parent company Eurostar for $750 million in cash, with the transaction expected to close in the third quarter of 2021. Footwear Locker's acquisition of WSS was strategically motivated by the target's differentiated market position, complementary customer base, and real estate portfolio. WSS's assortment of classic styles and full-family offering complemented Foot Locker's existing product mix. The deal provided Foot Locker with significant off-mall expansion opportunities, as all 93 WSS stores operated off-mall locations. Additionally, WSS's loyalty program, with approximately 80% of sales coming from loyalty members, and its strong positioning with the West Coast Latino community represented valuable strategic assets. Foot Locker projected that WSS could become a $1 billion brand over time, citing expansion opportunities into new North American geographies, particularly in states with high Hispanic populations where WSS had limited presence.

WSS acquisition details
AcquirerDateTypePriceEV/Revenue
  • Foot Locker
2 Aug 2021Strategic M&A$750M1.8x

WSS Funding History

WSS has raised a total of $40M across 1 funding round.

WSS funding rounds

WSS funding rounds
DateStageRaisedDeal Summary
Aug 2020Undisclosed stage$40MWSS operates as a banner focused on classic styles, serving a differentiated market with a complementary customer base and real estate portfolio to Foot Locker's offerings. WSS reported approximately $425 million in revenue for its fiscal year 2020, with a three-year revenue CAGR of about 15%, positioning it for accretive impact to Foot Locker's earnings per share in FY2021. The acquisition aims to diversify Foot Locker's product mix across price points and enhance its North American positioning. WSS will retain its name and operate as a new banner within Foot Locker's portfolio. Leadership from WSS, including CEO Rick Mina, expressed enthusiasm for joining Foot Locker, citing access to additional talents, resources, and history in athletic specialty retail. Financial advisors were Evercore and RW Baird for the parties, with legal counsel from Skadden and Manatt.

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WSS Competitors

WSS competitors include listed companies like Shu Yu Civilian Pharmacy, WH Smith, Festi and SK Discovery Co, and private ones like Familia and KSP.

Public and private companies comparable to WSS
CompanyHQStatusRevenueEBITDAValuationRevenue Multiple
Shu Yu Civilian PharmacyChinaChinaPublicly listed$1.5B$105M$737M0.7x
WH SmithUnited KingdomUnited KingdomPublicly listed$2.1B$244M$736M1.0x
FestiIcelandIcelandPublicly listed$1.4B$138M$767M-
SK Discovery CoSouth KoreaSouth KoreaPublicly listed$7.4B$650M$731M-
FamiliaRussiaMoscowPrivate--$900M-
KSPIsraelTel AvivPrivate$38M-$621M16.3x

WSS Public Comps

WSS is no longer listed, but its public comps include Shu Yu Civilian Pharmacy, WH Smith, Festi, SK Discovery Co, Halfords Group, Doğuş Otomotiv, Guararapes, Petco, Medplus Health Services and Zjamp Group.

Last FYEV/RevenueEV/EBITDA
RevenueEBITDALast FYLTM2027ELast FYLTM2027E
Shu Yu Civilian Pharmacy$1.5B$105M0.7x0.7x9.8x10.6x
WH Smith$2.1B$244M1.0x1.0x8.8x8.3x
Festi$1.4B$138M0.8x-7.9x-
SK Discovery Co$7.4B$650M0.9x-10.7x-
Halfords Group$2.4B$238M0.4x0.4x4.3x4.1x
Doğuş Otomotiv$5.3B$280M0.3x0.2x5.0x4.2x
Guararapes$2B$600M0.6x0.6x2.0x3.2x
Petco$6B$317M0.5x0.5x10.2x7.7x

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Common questions about WSS

When was WSS founded?WSS was founded in 1984.
Where is WSS headquartered?WSS is headquartered in Los Angeles, CA, United States.
Is WSS publicly listed?No, WSS was acquired by Foot Locker in August 2021.
Who acquired WSS?WSS was acquired by Foot Locker in August 2021.
How much was WSS acquired for?WSS was acquired for $750M in August 2021, a 1.8x revenue multiple.
How much funding has WSS raised?WSS has raised $40M across 1 funding round.
What was WSS's last funding round?WSS's last funding round was a $40M undisclosed-stage round in August 2020.
Which companies are comparable to WSS?Companies comparable to WSS include Shu Yu Civilian Pharmacy, WH Smith, Festi, SK Discovery Co, Familia and KSP.

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