The Reebok era with adidas has officially come to an end. Adidas has sold Reebok to Authentic Brands Group for 2.1 billion euros ($2.5 billion USD). Adidas originally acquired Reebok for $3.8 billion USD in 2006 to help compete with NIKE, but the acquisition has not panned out the way the German sporting goods company had hoped.
Despite the Reebok deal flopping, adidas has managed to eat away at Nike’s foothold on the industry due in part to partnerships with celebrities like Kanye West, Beyonce and Pharrell Williams.
Reebok will keep its headquarters in Boston and continue operations in North and Latin America, Asia-Pacific, Europe and Russia, the U.S. brand management firm said in a statement, adding it will work closely with Adidas during the transition.