Adidas to buy rival Reebok
Sports clothing giant Adidas today confirmed it is to buy American rival Reebok for €3.1bn, creating a force that is better equipped to challenge industry leader Nike.
The pair said they had unanimously agreed on the tie-up, which will give German-based Adidas about a fifth of the US market.
Adidas chief executive Herbert Hainer said the move represented a “major strategic milestone” for the company.
He said: “This is a once-in-a-lifetime opportunity to combine two of the most respected and well-known companies in the worldwide sporting goods industry.”
He added the move would expand the geographic reach of Adidas, particularly in North America.
The deal is subject to regulatory approval in the US and Europe as well as by shareholders.
The transaction is expected to be completed during the first half of 2006.
