Business News
Adidas acquires China rights to Reebok brand
Jun 29, 2006, 15:05 GMT
Herzogenaurach, Germany - Adidas, which is seeking to end franchising and secure direct control of its brands in major markets, said Thursday it had acquired the rights to the Reebok brand in China from next year.
The terms of the agreement with New Point Industrial Limited, which had distribution rights and the franchise, were not disclosed.
Adidas, which makes trendy sports footwear and clothing, has been number two in the business worldwide since its takeover of Reebok of the United States. The company, based in Herzogenaurach, Germany, acquired the Russian Reebok rights in May.
Ending joint ventures with local companies in growth markets such as Russia and China is a central part of Adidas' strategy to increase profits on sales of its shoes, shirts and other sports gear.
The company has spent several years re-asserting worldwide control over its main Adidas brand.
The 3.2-billion-euro takeover of the Reebok company took effect in January.
© 2006 dpa - Deutsche Presse-AgenturCOMMENT
blog comments powered by DisqusLatest Headlines in Business
- 1. US unemployment drops further, but figures disappoint
- 2. Japan stocks down as euro debt outweighs positive US data
- 3. Iraq resumes oil flow after pipeline blast in Turkey
- 4. Spanish bond auction lifts eurozone worries, sinks Japan stocks
- 5. ECB holds rates, rules out early exit from emergency measures
Older Talkback
