Adidas confirms potential sale of Reebok

Sportswear giant Adidas has confirmed it could sell its Reebok brand.

The German company said that it had “begun to assess strategic alternatives” for Reebok which could include a sale as part of a new five-year strategy to be set out in March.

Adidas bought US-focused Reebok in 2006 for $3.8bn (£2.8bn) in an attempt to build more of a presence in the home market of its rival Nike.

The acquisition did not work out as planned and Adidas chief executive Kasper Rorsted came under pressure to sell the brand.

Attempts to turn around its fortunes included signing up Game of Thrones actor Nathalie Emmanuel, models Gal Gadot and Gigi Hadid, and the singers Cardi B and Ariana Grande as brand ambassadors.

The business, which lost €150m (£134m) in 2016, returned to profitability in 2018.

But it suffered a reverse when sales took a bigger hit earlier this year from the COVID-19 pandemic than those of the wider Adidas group.