Adidas decided to sell Reebok. The German sportswear giant had bought the US brand in 2006 (stealing it from Nike's bitter rivals), but has never been able to relaunch it since then, bringing it back to the splendor of previous decades.
In the 80s, in fact, Reebok had even surpassed Nike in the sale of sneakers in the United States. Now, however, the situation is very different: if Adidas had spent 15 years ago 3,8 billion dollars to win the US brand, today it cannot expect to earn more than one and a half billion from the sale.
At the moment, it is not yet clear who the buyer will be. The US press claims that Adidas instructed JP Morgan to find a suitable buyer. According to some rumors, there would be suitors at the table V.F. Corp. – group from Denver which already has important brands in its portfolio such as The North Face and Timberland – and the Chinese Tapir. However, the favorite would be a New York company, Authentic Brands.
Adidas neither confirms nor denies these rumors, but announces that new information will be made public the 10 March, when the German group will illustrate the new five-year strategic plan to the market.
In the first nine months of the current fiscal year, which began in June of 2020, Reebok saw sales plummet by 22% on an annual basis, to just over a billion dollars.
"After careful consideration we have come to the conclusion that Reebok and Adidas will be able to realize their potential much more profitably if they are independent of each other," he said. Kasper Rorsted, CEO of the Bavarian group – We will work diligently over the coming months to ensure a successful future for the Reebok brand and the team that supports it. The long-term growth opportunities for our sector are very attractive, especially for the most iconic brands”.
