“Reebok and Adidas will be able to significantly better realize their growth potential independently of each other,” CEO Kasper Rorsted mentioned. “We will work diligently in the coming months to ensure a successful future for the Reebok brand and the team behind it,” he added.
But the model has underperformed in recent times and misplaced market share. It now accounts for simply 7% of Adidas’ gross sales, down from about 18% in 2010, in accordance with monetary statements.
Rorsted launched a turnaround plan in 2016 after taking up as Adidas CEO, which returned Reebok to profitability in 2018 and noticed it land endorsement offers with celebrities akin to Ariana Grande and Cardi B.
Adidas mentioned it is going to focus efforts on strengthening its personal model within the international sporting items market. “The long-term growth opportunities in our industry are highly attractive, particularly for iconic sports brands,” Rorsted mentioned.
Authentic Brands Group (ABG) and China’s Anta Sports may be potential suitors. ABG owns the rights to basketball nice Shaquille O’Neal’s enterprise endeavors. O’Neal reportedly mentioned in 2019 that he would like to be an element proprietor of Reebok.
Adidas, which acquired Reebok in 2006 for $3.eight billion, will report the model as “discontinued operations” from the primary quarter of 2021.