ABG and ABFRL embark on strategic partnership for Reebok in India
Authentic Brands Group has teamed up with Indian fashion company Aditya Birla Fashion and Retail on the signing of a long-term licensing agreement, which grants ABFRL exclusive rights to distribute and sell Reebok products through wholesale, ecommerce and Reebok branded retail stores in India and other ASEAN countries.
The deal marks the first time that ABFRL has entered into India’s fast-growing sports and activewear segment and will fill an important white space in its portfolio.
Ashish Dikshit, managing director of ABFRL said: “As Indians get more active, athletic and health-focused, their consumption of apparel and accessories is expected to increasingly change in line with these trends, providing an opportunity to build iconic brands of global repute. Reebok is one of the leading brands in the sporting goods industry globally and has built a very strong presence in the Indian market over the last two decades. In partnership with ABG, we plan to accelerate Reebok’s business in India, combining its global appeal and salience amongst Indian youth. This transaction further strengthens the ABFRL portfolio and increases our ability to engage with consumers across various need spaces.”
ABG said the move will further its global Reebok strategy of assembling a network of core operating partners around the world who are committed to driving innovation and growth while upholding the brand’s integrity and values. ABFRL will partner with Reebok Design Group, the newly established global brand hub based in Boston, on all product design, development, innovation and creative direction.
Corey Salter, chief operating officer at ABG, added: “ABFRL is a champion of the fashion industry in India with proven expertise in building and operating large-scale lifestyle brands across the region. We are very pleased to expand our existing partnership with ABFRL, which includes Forever 21 and other ABG brands, and are confident that ABFRL will be successful in solidifying Reebok’s position with a growing audience of fans in India and Southeast Asia.”
The deal is a precursor to a transaction expected for next year where ABFRL will purchase certain assets of Reebok’s India business.
The transfer of ownership of the Reebok brand from Adidas to ABG is expected to close in the first quarter of 2022.
