On May 6, according to the British Reuters report:
Many people who know the inside story Adidas has asked to submit a first-round bid next week, one of the sources said. China’s Anta Sports 2020.HK and Li Ning 2331.HK are expected to submit bids, while South Korea’s Fila 081660.KS and the U.S.’s Wolverine WWW.N may also bid. .
Sources also said that financial investors including TPG Capital, Sycamore, Cerberus and Apollo may also join the competition because they are optimistic about Reebok’s performance. Potential for improvement. Reebok is expected to post a loss this year, with core profit expected to grow only “slightly” next year. ‘
Adidas declined to comment. Several possible buyers also declined to comment or could not be immediately reached.
The biggest problem in the acquisitions of Anta and Li Ning—-
The turmoil in Xinjiang cotton
According to the 2020 financial report released by Adidas in early March, affected by the coronavirus disease 2019 (COVID-19), Ruipao’s full-year sales shrank compared with 2019 16%. In February this year, Adidas revealed that it was considering selling Reebok, and the five-year growth strategy plan released on the same day as the financial report also excluded Reebok.
However, Adidas is still boycotted in China because it is involved in the Xinjiang cotton controversy. This may become a factor for Chinese buyers to consider and even affect sales. price.
According to reports, the organizers of the Shanghai Half Marathon held in mid-April this year temporarily announced on the eve of the start that they would not provide T-shirts with adidas printed on them to the participants. , and refund part of the money to the contestants. The organizer did not explain the reason, but it is generally believed to be due to the Xinjiang cotton issue.
In addition, Adidas is the clothing sponsor of many Chinese talent shows this year. Therefore, in April, TV stations also used mosaics to cover up the contestants’ clothing. Brand mark.
The report mentioned that in addition to the two Chinese companies, South Korean sports brand FILA and American shoe company Wolverine are also interested in participating in the bidding. In addition, asset management or private equity companies such as TPG, Sycamore, Cerberus and Apollo are also potential buyers.
Reports quoted market estimates that Reebok’s selling price will be around US$1.2 billion, which is much lower than the acquisition price of Adidas that year. However, none of the named brands responded to this rumor.