#Retail & Brands

2022-03-03

adidas completes divestiture of Reebok and launches new share buyback program

adidas announced today that as of February 28, 2022, it has formally completed the divestiture of Reebok to Authentic Brands Group (ABG). In several markets, adidas will continue to operate the business on behalf of ABG during a transition period, following which the Reebok business will fully transfer to ABG’s operating partners via a series of deferred local closings.

These deferred local closings will take place later this year and in early 2023. In-line with the definitive agreement signed in August 2021 and as a result of the formal completion of the divestiture, adidas has now received the majority of the total consideration of up to € 2.1 billion in cash, with the remainder comprised of deferred and contingent consideration.

• Divestiture of Reebok to Authentic Brands Group formally completed

• adidas receives majority of total consideration in cash upon formally completed Reebok divestiture

• adidas launches additional share buyback program of up to € 1.5 billion to return cash proceeds to shareholders

• First tranche of regular multi-year share buyback program completed on February 22

Against this background, adidas will launch a new share buyback program to return the cash proceeds from the Reebok divestiture to its shareholders. Starting in mid-March 2022, the company intends to repurchase own shares in an amount of up to € 1.5 billion until the end of the third quarter 2022.

The decision to repurchase shares will be in addition to the company’s regular buyback activities. In December 2021, adidas had launched a multi-year share buyback program under which the company plans to buy back shares in an amount of up to € 4 billion until 2025. The first tranche of this program was launched on January 10 and completed on February 22, 2022. During that period, the company bought back 4,156,558 shares for a total amount of € 1 billion, corresponding to an average purchase price per share of € 240.58.? ?“We thank Reebok and the employees who transfer to ABG and its operating partners as a result of today’s closing and acknowledge their contribution to the company over the years and during the transition period”, said Harm Ohlmeyer, CFO of adidas.

“The completion of the divestiture of Reebok is another important milestone in the execution of our strategy ‘Own the Game”. As previously announced, we are returning the cash proceeds from the divestiture to our shareholders. This will be done via another share buyback program and reflects our confident outlook on 2022 despite the various challenges we are currently confronted with.”

Strong shareholder returns are a key component of adidas’ strategy ‘Own the Game’. As part of ‘Own the Game’, adidas plans to generate substantial free cash flow until 2025 and return the majority of it – between € 8 and 9 billion – to its shareholders via dividend payments and share buybacks. With today’s announcement these regular shareholder returns are complemented by an additional € 1.5 billion share buyback program related to the divestiture of Reebok.

textile.4U publishes special edition “Top 100 Textile Recycling Companies 2025”

With a comprehensive 176-page special edition, textile.4U is dedicating its latest issue entirely to one of the most dynamic and influential topics in today’s textile industry: textile recycling. The new issue, published exclusively in high-quality print, presents the Top 100 textile recycling companies researched and selected by TexData – organizations that already play a key role in the transition to circular textiles or are expected to have a significant impact in the near future.

Responsible Textile Recovery Act of 2024 signed by Governor

Senator Josh Newman (D-Fullerton) is proud to announce that Senate Bill 707 (SB 707), the Responsible Textile Recovery Act of 2024, has been signed into law by the Governor of California, Gavin Newsom. This groundbreaking legislation establishes the country’s first Extended Producer Responsibility (EPR) textile recycling program, marking a significant step forward in the state’s efforts to combat waste and promote sustainability.

Modtissimo promotes sustainability with 28 coordinates in the Green Circle

Modtissimo is proving more and more to be a textile and clothing show that delivers the latest innovations in the area of sustainability, with the iTechStyle Green Circle being the main showcase for companies' creations. In this 60+4 edition, taking place on 12 and 13 September, 28 coordinates will be exhibited in a section organised by CITEVE and curated by Paulo Gomes.

The EU and Egypt team up to mobilise private sector investments at Investment Conference and sign a Memorandum of Understanding underpinning €1 billion in macro-financial assistance for Egypt

At the EU-Egypt Investment Conference, co-organised by the EU and the Government of Egypt on 29-30 June, the EU and Egypt are teaming up to intensify private sector investments in Egypt. They are also signing a Memorandum of Understanding (MoU) for the disbursement to Egypt of up to €1 billion in Macro-Financial Assistance.

Recover™ secures multi-year recycled cotton agreement with H&M

Recover™ has signed a multi-year agreement with H&M to support the integration of its recycled cotton fiber, RCotton, for use in H&M’s products. Since early 2024, H&M and Recover™ have collaborated on product development, which now enables scaled commercial introduction of Recover™ mechanically recycled cotton into H&M’s collections.

GORE-TEX® KIDSWEAR launches innovative membership scheme for kids’ jackets

With its revolutionary new membership model, GORE-TEX® Kidswear now offers families a simple, flexible and sustainable way of kitting out their children in top-quality jackets. It is aimed at the parents of children aged between five and ten and kicks off with a choice of functional winter jackets.

Modern testing methods for raw cotton

The 38th International Cotton Conference Bremen will take place from 25 to 27 March 2026 at the Bremen Parliament. This conference has traditionally stood for in-depth expertise and international exchange. The program will focus on technical innovations, market trends, and regulatory frameworks across the entire value chain – from agriculture to the circular economy. With high-profile speakers, the conference is regarded as the key meeting point for the global cotton industry. Today’s focus: Cotton quality and testing methods.

Exchange data between textile companies openly, securely and cost-effectively without a central platform – ITA makes it possible

The Institut für Textiltechnik (ITA) of RWTH Aachen University has launched a new demonstrator for an open and secure data space in the textile industry at the Digital Innovation Centre Europe (DICE). For the first time, the demonstrator shows directly and clearly how companies can share their data securely with each other without the need for a central platform. Data exchange is based on shared, freely usable technical foundations.

EU and India conclude landmark Free Trade Agreement

The EU and India concluded negotiations today for a historic, ambitious and commercially significant free trade agreement (FTA), the largest such deal ever concluded by either side. It will strengthen economic and political ties between the world's second and fourth largest economies, at a time of rising geopolitical tensions and global economic challenges, highlighting their joint commitment to economic openness and rules-based trade.