Adidas sells Reebok to Authentic Brands

Adidas has reached a $2.5 billion deal to sell Reebok to Authentic Brands Group (ABG). The Reebok brand has struggled since being acquired by Adidas in 2006 as a counter to Nike. ABG has said it will not look to compete head-on with Nike, but will use Reebok to differentiate its offering with consumers through its own-stores and partnerships with wholesale partners.