Sports Authority Rejects Gart’s Offer

Sports Authority Inc. rejected the $445.2-million bid for a 70% stake made by Gart Sports Co., its smaller rival that’s controlled by Leonard Green, a keen investor in troubled companies. The nation’s largest sports retailer said the price was unacceptable and said it was concerned about whether Denver-based Gart could finance its bid. Officials at Gart weren’t immediately available for comment. Sports Authority said it also may shelve an agreement for Venator Group Inc. to buy the entire company now that a 43% tumble in Venator’s stock has shrunk that offer to $10.55 a share, or $335.2 million, from the original $18.40 in May. Fort Lauderdale, Fla.-based Sports Authority also posted a 60% drop in fiscal second-quarter profit to $3.8 million, or 12 cents a share, as revenue rose 11% to $427 million. Sales at stores open at least a year fell 2.8%. Its shares plunged $2.31 to close at $9.50 on the NYSE. Gart’s shares fell 50 cents to $15.25 on the Nasdaq.