Adidas to take over Reebok’s full distribution rights in China

Adidas, the German sporting goods manufacturer, said it will take over all sales of its Reebok brand in China from NewPoint Industrial. From January 2007, Adidas will take over the distribution and licensing of Reebok products in China. The specific amount of the transaction was not formally announced, but both parties to the transaction expressed satisfaction.

Adidas

Since the advent of Germany’s Adidas in the second half of 2005 and the merger of Reebok, the No. 2 sporting goods company in the United States, the stock price of Reebok has skyrocketed.

It is reported that this merger transaction will enable Adidas to occupy 20% of the US sports goods market, making Adidas have a strategic position to challenge Nike. After the news broke, Reebok’s stock price rose.