- The proposed partnership will leverage mutually beneficial synergies between
XXL ASA and Frasers Group across product sourcing, servicing, and sourcing
financing. 

- Collaboration between the retailers to build on and accelerate XXL's
implementation of the Reset & Rethink strategy, launched in Summer 2023. 

- XXL to benefit from Frasers Group's successful experience on store elevation
and relationships, access to the Group's controlled brands and brand sourcing. 
 
Oslo - June 4, 2024, XXL ASA (XXL), and Frasers Group plc (Frasers Group), are
close to agreeing a mutually beneficial strategic partnership with the aim of
strengthening XXL's position in the Nordics.  

Frasers Group, which owns a large portfolio of retail brands including Sports
Direct and more than 30 % of XXL's Class A shares, believes XXL to be uniquely
positioned to strengthen Nordic market leadership by leveraging existing store
footprint, centralized operating model and omnichannel capabilities. 

A partnership between XXL and Frasers Group would involve mutually beneficial
synergies to strengthen retail operations and performance. The two companies
would share learnings and best practices with each other, and in particular
Frasers Group would share best practice from their Elevation Strategy, including
expertise on brand sourcing relationships. XXL would also benefit from access to
the Group's controlled brands and support on accelerating its Reset & Rethink
strategy. 

Group CEO XXL Freddy Sobin, said: "A more strategic partnership where we explore
and leverage possible synergies would be mutually beneficial in many areas such
as sourcing, brand partnerships, store elevation, best practice knowledge
sharing and more. Frasers Group is passionate about strategic brand partnerships
and in our new journey, so are we, because XXL has always been all about great
brands, great products, and great prices." 

Michael Murray, CEO of Frasers Group commented: "Partnering with XXL would be a
significant step forward in our ambition to becoming a global sports retailer.
The expertise we have gained through our Elevation Strategy, particularly in
brand relationships, retail elevation, and the utilization of our own brands,
will be invaluable to XXL as it regains its position as a champion within
sporting goods in the Nordics. In turn, Frasers would benefit from their
existing footprint that will drive new avenues of growth for the Group in the
sporting goods market." 

XXL's Reset & Rethink strategy 

XXL is beginning to reap the benefits of its Reset & Rethink strategy, launched
in 2023, which aimed to improve retail operations and performance at XXL. A
strategic partnership with Frasers Group would further accelerate implementation
of the strategy. 

Freddy Sobin said: "Reset is what we initially have been focusing on, and it
entails top line quick-wins, cost control and structural measures through five
must win battles. Rethink on the other hand entails accelerating key top-line
levers through four long-term strategic pillars: Restructuring physical stores,
accelerating e-commerce, doubling down on own and controlled brands as well as
leveraging our service offering. As communicated, we are seeing indicators that
the plan is materializing and that we are progressing in the right direction."  

For further information, please contact:
Investor Relations
Tolle O. R. Grøterud 
Tel: +47 902 72 959 
E-mail: ir@xxlasa.com 

Press contact 
Jan Christian Thommesen 
Tel: + 47 918 21 387 
E-mail: presse@xxl.no

ABOUT XXL ASA 
XXL is a leading sports retailer with stores and e-commerce in Norway, Sweden
and Finland. It is the largest among the major sports retailers in the Nordics.
XXL pursues a broad customer appeal, offering a one stop shop experience with a
wide range of products for sports, hunting, skiing, biking and other outdoor
activities. XXL's concept is to have the largest stores with the best prices and
the widest assortment of products, focusing on branded goods.