By Giulia Petroni

Adidas AG said Tuesday that it has started a formal process to divest its Reebok brand after concluding a strategic assessment.

The German sporting-goods company said it will report Reebok as discontinued operations from the first quarter of the year onwards.

"After careful consideration, we have come to the conclusion that Reebok and Adidas will be able to significantly better realize their growth potential independently of each other," it said.

Adidas acquired the brand in 2006 for around $3.8 billion.

The company said it will release more details on its strategic business plan to 2025 at the investor and media day on March 10.

Write to Giulia Petroni at giulia.petroni@wsj.com

(END) Dow Jones Newswires

February 16, 2021 09:14 ET (14:14 GMT)

Copyright (c) 2021 Dow Jones & Company, Inc.
Adidas (QX) (USOTC:ADDYY)
Historical Stock Chart
From Mar 2024 to Apr 2024 Click Here for more Adidas (QX) Charts.
Adidas (QX) (USOTC:ADDYY)
Historical Stock Chart
From Apr 2023 to Apr 2024 Click Here for more Adidas (QX) Charts.