American footwear retailer Foot Locker inks deal with Metro Brands and Nykaa to enter Indian market

Foot Locker, which is headquartered in New York City and operates in over 40 countries, is looking to further expand its global presence with this strategic move.

Under this deal, Metro Brands, which has an extensive network of more than 700 stores across India, will have the exclusive ownership and operational responsibility for Foot Locker stores in the country, the report said.

These stores will be offering a range of shoes from renowned brands like Nike and Adidas.

"These agreements will enable Foot Locker to efficiently access the large and growing sneaker market in India," the company said in a statement while forecasting a smaller-than-expected decline in its fourth-quarter comparable sales, the Reuters report stated.

This development gathers importance as the company’s stock lost 40% of its value this year.

With disposable income increasing in the hands of a chunk of the population in India, coupled with a change in consumer spending patterns from local, independent stores to larger retail chains, has rendered India an appealing market for international brands, the report said.

Earlier this year, there were reports in the Indian media indicating that Bata India is exploring a partnership with Adidas, a development that could intensify competition among footwear retailers in the South Asian nation, it added.