On Thursday, Adidas AG (ADS) announced that it plans to sell its Reebok (RBK) division. The German multinational sportswear corporation stated that it wants to end its ill-fated investment in the United States-focused brand.
Adidas’s Chief Executive Officer Kasper Rorsted said that it plans to complete the sale by March 2021.
Germany’s Manager Magazin stated that the U.S. apparel maker VF Corp (VFC) and China’s Anta Sports (HKG:2020) were interested in acquiring Reebok.
“While Adidas chief executive officer Kasper Rorsted had hoped for about EUR2BN (US$2.4BN) from selling Reebok before the pandemic, he would now be content with less than that amount,” the Manager Magazin reported.
In 2016, Adidas purchased Reebok for $3.8 billion to compete with its rival Nike Inc. (NKE) in the United States.
Adidas’s shares went up by 3.5% after its Reebok sale announcement.
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