Last Thursday, Adidas announced the sale of Reebok to the American Authentic Brands Group (ABG) for a total of € 2.1 billion. The operation should be completed in the first quarter of 2022, according to El País.
“Adidas announces that it has reached a definitive agreement to sell the Reebok Authentic Brands Group for a total price of € 2,100 million, most of which will be paid in cash at close of the deal, with the remainder in deferred price. … and variable “, points to the statement of the German company, which” intends to share most of the money received from the operation with its shareholders. “
Adidas bought Reebok in 2006 for € 3.1 billion with the intent to increase size and compete with US rival Nike, but its weak performance prompted investors to convince Adidas to ditch the brand.
“Reebok has been a valuable part of Adidas and we are grateful for the contributions the brand and its team have made to our company,” Adidas CEO Kasper Rorsted said in a statement. According to Adidas, the sale of Reebok will not affect this year’s financial outlook or the financial goals of the 2025 strategy.
