JD Sports has completed the purchase of stricken retailer Blacks Leisure for £20 million.

The sportswear retailer has bought all of Blacks' 290 UK stores and the bulk of its business, including brands Eurohike and Peter Storm, from administrator KPMG.

In a statement, sports fashion supplier JD said it would evaluate the performance of each store in the coming months before deciding which ones to close.

Outdoor goods supplier Blacks entered administration and saw its ordinary shares suspended by the London Stock Exchange last week. Its new owner beat off competition from rival Sports Direct and entrepreneur Peter Jones to complete the deal.

Blacks made a loss of £2.5 million for the period to 26 February 2011 and JD expects the acquisition to lead to a minor reduction in earnings for the remainder of the year to 28 January 2012.

Bury-based JD also confirmed that Blacks' senior management team, including CEO Julia Reynolds, would be retained.

Peter Cowgill, executive chairman of JD, said, 'We believe with the support of JD's operational disciplines and financial strength, along with the existing Blacks management team, we can restore the Blacks business to a profitable market leading position.'

Investors have been encouraged by the news, with shares in JD up 10p in early trading, at 710p.