ABG to Acquire Reebok From Adidas
Authentic Brands Group, a global brand owner, marketing and entertainment company, announced on Aug. 12 that it had entered into a definitive agreement to purchase Reebok from Adidas.
Reebok is the iconic activewear and footwear brand known for creating the first spiked running shoe, the first athletic shoe designed for women and The Pump technology. Reebok continues to introduce new innovations that propel the shoe industry forward and has a rich and storied fitness heritage.
“We’ve had our sights set on Reebok for many years, and we’re excited to finally bring this iconic brand into the fold,” said ABG founder, chairman and CEO Jamie Salter. “Reebok not only holds a special place in the minds and hearts of consumers around the world, but the brand also has expansive global distribution. Adidas has been an incredible steward of the Reebok brand, and we look forward to working with the Reebok team to continue their great work and further its position as one of the world’s leading consumer brands.”
Reebok currently offers high-quality products with modern styles in both active and lifestyle options. It continues to be a premier destination for athletic and casual offerings with operations in 80 countries and 70 percent of its business coming from outside the U.S. and Canada. ABG’s goal is to maintain Reebok’s reach in retail, wholesale and e-commerce globally.
Reebok also has deep ties to professional sports and pop culture and will continue to deliver on its mission of providing each and every athlete, from professionals to enthusiasts, with the opportunity, products and inspiration to reach their full potential.
“As a longtime partner of Reebok and an owner of ABG, it’s a dream come true to welcome this legendary brand to the family,” said four-time NBA champion Shaquille O’Neal.
ABG plans on connecting Reebok with strong brands and a network of partners to optimize its value in the marketplace. Reebok’s world headquarters will remain in Boston, and ABG will work with Adidas, Reebok President Matt O’Toole and the entire Reebok team to transition the brand to ABG’s platform. Reebok’s operations will continue in the U.S. and Canada, Latin America, the Asia Pacific, Europe and Russia.
The transaction is expected to close in the first quarter of 2022 and is subject to customary closing conditions, including regulatory approval.
BofA Securities and Goldman Sachs and Co. LLC served as financial, strategic and M&A advisers while also providing committed financing. KPMG International Limited served as an accounting and due-diligence adviser for ABG. Latham & Watkins LLP acted as legal counsel for ABG. Private-equity partners BlackRock LTPC, General Atlantic and Leonard Green & Partners LP also played an instrumental role in the acquisition.
Photos courtesy of Reebok.