Log in
E-mail
Password
Remember
Forgot password ?
Become a member for free
Sign up
Sign up
New member
Sign up for FREE
New customer
Discover our services
Settings
Settings
Dynamic quotes 
OFFON
News: Latest News
Latest NewsCompaniesMarketsEconomy & ForexCommoditiesInterest RatesBusiness LeadersFinance Pro.CalendarSectors

Adidas plans to sell ailing Reebok business within months - manager magazin

10/22/2020 | 10:17am EDT
Boards with Reebok store logo are seen on a shopping center at the outlet village Belaya Dacha outside Moscow

FRANKFURT/MUNICH (Reuters) - German sportswear company Adidas is planning to sell its Reebok division, Germany's manager magazin reported on Thursday, as the group seeks to put an end to its ill-fated investment in the U.S.-focused brand.

Adidas Chief Executive Kasper Rorsted plans to complete the sale by March 2021, the magazine said, without citing where it obtained the information.

Manager magazin said U.S. apparel maker VF Corp and China's Anta Sports were among the interested parties, without citing sources.

Adidas declined to comment.

VF Corp did not immediately respond to a request for comment, while Anta Sports could not be immediately reached for comment outside office hours in China.

Shares in Adidas jumped as much as 3.5% on the report, reflecting hopes for a sale following repeated calls to dispose of Reebok from investors who criticised a lack of progress in turning around the business.

The German company bought Boston-based Reebok for $3.8 billion in 2005 under Rorsted's predecessor Herbert Hainer, aiming to take on U.S. arch rival Nike on its home turf.

Last year, however, Adidas wrote down Reebok's book value by nearly half compared with 2018, to 842 million euros ($995 million). The unit's sales fell 44% in the second quarter of 2020 to 228 million euros, leading to its parent taking impairment charges in the period.

Rorsted had flagged in March that Reebok's role within the group would be decided as part of Adidas' new strategy, to be unveiled next year.

(Reporting by Christoph Steitz and Alexander Huebner; Editing by Thomas Seythal, Keith Weir and Pravin Char)


© Reuters 2020
Stocks mentioned in the article
ChangeLast1st jan.
ADIDAS AG 0.27% 293.55 Delayed Quote.-1.64%
ANTA SPORTS PRODUCTS LIMITED 2.99% 158.4 End-of-day quote.28.89%
NIKE, INC. -0.44% 131.36 Delayed Quote.-7.15%
V.F. CORPORATION -0.94% 81.36 Delayed Quote.-4.74%
Latest news "Companies"
03:58aMIX TELEMATICS  : Annual Report 2021
PU
03:58aTRADEDOUBLER  : Prestigious awards rewarding Tradedoubler's expertise and innovations
PU
03:56aSEIKO EPSON  : Epson Helps Print Service Providers Power Up Productivity with All-New Line of Production-Class SureColor P-Series Wide-Format Photo Printers
PU
03:56aBOOHOO  : Q1 Trading Update v2
PU
03:54aLEGAL & GENERAL  : LGIM renews pressure on companies to provide climate accountability and achieve net-zero emissions
PU
03:54aDIGITAL BROS S P A  : Remuneration Policy and LTI Plan approval
PU
03:54aBOOHOO  : Q1 Trading Update
PU
03:53aSECTRA  : speeds up clinical use of AI -- digital pathology apps now available in marketplace
PR
03:52aCML MICROSYSTEMS  : Preliminary Announcement for the year ended 31st March 2021
PU
03:51aFACEBOOK  : Top EU court says national watchdogs may act against violations, in blow to Facebook
RE
Latest news "Companies"