Shares in UK sportswear retailer Footasylum jumped by 158% in early trading today on the announcement that rival JD Sports Fashion Plc acquired an 8.3% stake in the company.

JD Sports said it acquired the stake for “investment purposes” and is prepared to acquire an aggregate interest of 29.9% in Footasylum. However, it added it had “no intention” of submitting a takeover bid.

Footasylum’s share price rose to 75p per share this morning (18 February).

In 2017 Footasylum listed on the AIM, shortly after its owners had been mulling a sale of the company. On listing, its stock began trading at GBP1.64, and in January 2018 its share price rose to GBP2.73.

However, like much of the UK high street, which has been hit by tough retail conditions, Footasylum has issued several profit warnings over 2018, and another in January 2019.  Its shares have since fallen almost 90%, closing at 29p on Friday.

The lifestyle fashion retailer focuses on 16 to 24 year old customers, and operates more than 60 stores.