Thriving entrepreneur and rapper Master P is looking to buy Reebok from its parent company, Adidas. According to Forbes, Reebok has had a difficult time connecting with the younger
generation and updating its brand look.
Baron Davis is also hoping to team up with Master P to acquire the company, which could sell for about $2.4 billion. I think Reebok is being undervalued. I left Nike as a 22-year-old kid representing myself and made the jump to Reebok, which took a chance on me as a creative and as an athlete. I want the people I know athletes, influencers, designers, celebs to sit at the table with me,” Davis told the publication.
An Adidas deal with Master P would be monumental for black culture, as another hip-hop honcho would have his stakes in the business. Back in 2003, Jay-Z signed with Reebok and issued the S. Carter shoes, which led to a 17% boost in footwear purchases the next year, according to Forbes. The company has also recently worked with Cardi B and Kendrick Lamar.
Before 2020 ended, Adidas announced to the public that it was re-evaluating Reebok’s place in its corporate structure. “As part of the development of its new five-year strategy, Adidas has begun to assess strategic alternatives for Reebok. These strategic alternatives include both a potential sale of Reebok as well as Reebok remaining a part of the company. A decision will be announced on March 10, 2021, when the company’s new strategy is officially presented.”
„Our most important initiative will be to put money back into the community that built this company.”
Adidas bought Reebok in 2006 but they have suffered hard times since then. But successful implementation of the turnaround plan, "Muscle Up,” started in 2016, returned the brand to profitability in 2018, two years earlier than initially planned. In 2019, Reebok, propelled by a double-digit increase in North America, saw global sales rise exponentially.