Adidas paid 3.1 billion euros for Reebok, but expectations were disappointed. Now the sporting goods manufacturer has found a buyer for the US brand.
The sporting goods manufacturer Adidas has found a buyer for the US brand Reebok, which has been for sale for some time.
The company has reached a definitive agreement to sell Reebok to Authentic Brands Group (ABG) for a total purchase price of up to 2.1 billion euros. The majority of the purchase price will be paid in cash upon completion of the transaction, the company announced on Thursday in Herzogenaurach.
The transaction is expected to close in the first quarter of 2022. Adidas wants to distribute the majority of the cash proceeds to its shareholders. The shares listed in the Dax rose significantly after the transaction was announced.
Adidas had taken over Reebok under the direction of the then CEO and current FC Bayern President Herbert Hainer and paid around 3.1 billion euros for it at the time. In the 15 years of cooperation, however, the US brand was never able to make the contribution to group profits that the buyers had initially envisaged.
For its part, Reebok had complained that Adidas was developing its own brand and caring too little about the second brand. A long time ago, Adidas had parted with smaller parts of the business that had been bought at the time and earned 0.4 billion euros for it.
In the past few months, an illustrious group of bidders had tried to get Reebok, but their interests had only now come together with AGB. Among other things, the US basketball icon Shaquille O’Neal is said to have been among the applicants.
Jane Stock is a technology author, who has written for 24 Hours World. She writes about the latest in technology news and trends, and is always on the lookout for new and innovative ways to improve his audience’s experience.
