Adidas (ETR:ADS) stock surges on Reebok sale news. – Idaho Reporter

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Adidas (ETR:ADS) stock surges on Reebok sale news.

According to a media report, the ailing Adidas subsidiary Reebok is attracting interest from financial investors Permira and Triton. Adidas bought the British-American Reebok back in 2006 for $3.8 B.

What happened?

The prospect of an early sale of Reebok drives Adidas (ETR:ADS) stock price high on Monday. The share price is also exploding because of the prospect of a vaccine soon available.

Investment companies are likely to generally assume that an independent Reebok brand has better growth prospects, the Financial Times quoted on Sunday a person familiar with the matter.

The considerations of Permira and Triton are still in an early phase and it is unclear whether both financial investors will submit an offer.

Triton is mainly known in the Netherlands as the owner of Sunweb tour operator. Permira is, among other things, active in the clothing industry with the shoe brand Dr. Martens

source

Since the takeover in 2006, Adidas has not been able to meet the high expectations of its subsidiary Reebok. Now the sale of the restructuring brand has come back into focus. Most recently, Adidas had completely reoriented its brand towards fitness.

Adidas CEO Kasper Rorsted had repeatedly said that he wanted to renovate Reebok himself. Manager Magazin recently reported that Adidas had decided to sell its US subsidiary after all.

Adidas AG stock price is up more than 7% on Monday.

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