Adidas Sold Reebok… That’s Hot.
Authentic Brands is about to add another huge consumer brand to its biz — Adidas AG plans to sell Reebok to Authentic in a $2.5 billion deal.
Adidas purchased Reebok for nearly $4 billion in 2006, but Reebok has underperformed for years. Even though the company reached profitability in 2019, its sales growth was insufficient for Adidas. Reebok, on the other hand, is a sufficient addition to Authentic’s portfolio of scrappy companies … which reek of the 2000s. 😅 Many are underperformers which are no longer as popular among customers, but their holdings still provide plenty of value.