{"id":961053,"date":"2021-02-17T11:15:51","date_gmt":"2021-02-17T17:15:51","guid":{"rendered":"https:\/\/www.snkrsday.com\/?p=961053"},"modified":"2021-02-17T11:16:00","modified_gmt":"2021-02-17T17:16:00","slug":"adidas-formally-announces-plans-to-sell-reebok","status":"publish","type":"post","link":"https:\/\/www.snkrsday.com\/adidas-formally-announces-plans-to-sell-reebok\/","title":{"rendered":"adidas Formally Announces Plans To Sell Reebok"},"content":{"rendered":"\n

In breaking news, German sportswear giant adidas<\/a> has officially announced plans to sell its underperforming Reebok<\/a> brand, which it acquired 15 years ago for $3.8 billion USD.<\/p>\n\n\n\n

According to Reuters<\/a><\/em>, as part of its five-year strategic plan, adidas has already begun a formal process to divest its Boston-based subsidiary Reebok. adidas will report Reebok as a “discontinued operation” from the first quarter of 2021 on March 10, and will additionally publish its 2020 results.<\/p>\n\n\n\n

\u201cReebok and adidas will be able to significantly better realize their growth potential independently of each other,\u201d adidas CEO Kaspar Rorsted said in a statement acquired by Reuters<\/em>.<\/p>\n\n\n\n

Trusted banking sources state that Reebok could sell for over $1.2 billion USD, which is far below what adidas paid for it. In the third quarter of 2020, Reebok\u2019s net sales fell 7% to $488 million after falling 44% in the previous quarter.<\/p>\n\n\n\n

adidas also has a few other options including spinning Reebok as a stand-alone public company or selling it to a private equity firm or a major sports retailer. Possible buyers at the time include Permira and Triton as well as VF Corp. Keep it locked here as the story unfolds. <\/p>\n\n\n\n