Two major private equity firms, Permira and Triton, are exploring an acquisition of Reebok from Adidas, according to a report in the Financial Times.
On October 22, reports arrived that Adidas was exploring a sale of the long-struggling Reebok brand, which it had acquired in 2005. Germany’s business magazine Manager Magazin said Adidas planned to complete the sale by March 2021.
According to the Financial Times, part of the appeal of Reebok to PE bidders is the potential to reach younger consumers with Reebok’s deep archive of classic footwear harking back to the 1980s. One source said, “The thesis [for private equity groups] will be, they can manage and grow this business better than what it is right now, which is just another brand within a relatively broad portfolio.”
The report said both PE firms are in early, exploratory stages with no certainty that any offer will result.
London-based Permira owns Dr Martens and in February acquired the footwear brand Golden Goose. Triton, also based in the U.K., invests primarily in European companies with its portfolio focused on manufacturing, healthcare and business services.
Photo courtesy Reebok
