Baron Davis, the former two-time NBA All-Star, and hip-hop mogul Percy “Master P” Miller are in discussions with Adidas to acquire the Reebok brand.
Forbes and ESPN both confirmed the ongoing discussions in conversations with Davis and Miller.
The cost to acquire Reebok from its parent company, Adidas, could be around $2.4 billion, according to Kori Hale of Forbes.
“I think Reebok is being undervalued,” Davis told Forbes. “I left Nike as a 22-year-old kid representing myself and made the jump to Reebok, which took a chance on me as a creative and as an athlete. I want the people I know — athletes, influencers, designers, celebs — to sit at the table with me.”
Miller told ESPN’s Eric Woodyard that he and Davis are “prepared financially” to purchase Reebok after a couple of months of negotiations.
“These companies have been benefiting off us, this could be history for this company going Black-owned,” Miller said.
Miller’s vision for the future of Reebok includes elevating the status of Philadelphia 76ers legend Allen Iverson, who the brand signed to a lifetime deal in 2001. He told ESPN, “Crown Allen Iverson and give him his righteous icon status for being probably the most elite athlete wearing Reebok. Allen Iverson is Jordan for Reebok. Nobody never gave him the royalties or ownership as the icon for the brand.”
Master P is the stage name of Percy Robert Miller, a 53-year-old rapper, actor, record producer, and entrepreneur whose net worth is said to be valued at $200 million. He founded the record label No Limit Records, home to artists such as Snoop Dogg, Mystikal, Fiend, and Mia X.
Davis, 41, is a retired former professional basketball player who played 15 seasons for various teams, including Charlotte, New Orleans, Golden State, the Los Angeles Clippers, Cleveland, and New York. He’s currently a studio analyst for TNT’s coverage of the NBA.
On December 15, Adidas confirmed that it might sell Reebok as part of a strategy overhaul to be unveiled in 2021. Adidas said it was assessing “strategic alternatives” for Reebok as it develops a new five-year strategy. These include “both a potential sale of Reebok as well as Reebok remaining a part of the company,” the statement added. A decision will be announced on March 10.
Adidas bought Reebok for $3.8 billion in 2005 in a bid to expand its reach in Nike’s home market. Reebok at the time had licensing deals with the National Basketball Association (NBA) and the National Football League (NFL). Adidas last year wrote down Reebok’s book value to $995 million.
Photo courtesy Reebok/Getty
