Why is Adidas selling Reebok to Authentic Brands Group?

Our Standards: The Thomson Reuters Trust Principles. Adidas (ADSGn.DE) is selling Reebok to Authentic Brands Group (ABG) for up to 2.1 billion euros ($2.5 billion) as the German sporting goods company concentrates on its core brand after a deal that did not deliver.

Did authentic buy Reebok?

In the past few years, Authentic has acquired Brooks Brothers and Forever 21, adding to a stable that includes Sports Illustrated. The acquisition of Reebok for 2.1 billion euros, or $2.5 billion, comes as Authentic is preparing to go public.

How much did Adidas pay Reebok?

Adidas is selling the company for about $2.5 billion, significantly less than the $3.8 billion it paid for Reebok in the early 2000s. Reebok is also a much smaller entity than it was when Adidas acquired it. In 2005, the year the Adidas acquisition was announced, Reebok made $3.77 billion. In 2020, Reebok made $1.61 billion.