German sports giant adidas, based in Herzogenaurach, is ending its ownership of Reebok after months of speculation. This was confirmed by adidas AG CEO Kasper Rorsted in a press release. Following an agreement with Authentic Brands Group (ABG), adidas is now selling Reebok for €2.1 billion, with a large portion of the sale amount to be paid in cash at closing. Here are the details of the latest adidas and Reebok news.

In 2006, adidas bought Reebok for €3.1 billion, and after 15 years, the deal has ended. "Reebok has been a valued part of adidas, and we are grateful for the contributions the brand, and the team behind it have made to our company. We believe that with this change of ownership, the Reebok brand is well-positioned for long-term success. As for adidas, we will continue to focus on executing our "Own the Game" strategy, which enables us to grow in an attractive industry, gain market share, and create sustainable value for all our stakeholders," says adidas CEO Kasper Rorsted.

Founded in 2010, Authentic Brands Group (ABG) is a major brand management company. The labels currently owned by the New York City-based company include major sports and apparel brands such as Airwalk and Tretorn. The transaction is expected to close in the first quarter of 2022.