Authentic Brands Group signs deal to bring Reebok to India

Brand development and marketing company Authentic Brands Group (ABG) has announced a strategic partnership with Aditya Birla Fashion and Retail Limited (ABFRL), granting the Indian firm exclusive rights to distribute and sell Reebok products in India.

The long-term licensing agreement allows the company to market the sportswear brand through wholesale, e-commerce and branded retail stores throughout India, Bangladesh, Bhutan, Maldives, Nepal and Sri Lanka.

According to ABG, the expansion into the region falls in line with its fast-growing sports and activewear segment, which has seen an upsurge following the increase in income, health consciousness and adoption of active lifestyles. The segment is expected to grow to 13 billion dollars by 2024, forecast with an annual growth rate of 14 percent.

“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,” commented Ashish Dikshit, managing director ABFRL, in a statement. “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.”

He continued: “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 ABFRL portfolio and increases our ability to engage with consumers across various need spaces.”

Reebok’s new ownership and direction

The partnership is part of ABG’s global Reebok strategy of assembling a network of global core operating partners to drive the growth of the brand, whilst upholding its values. ABFRL will additionally partner with Reebok Design Group (RDG), a Boston-based brand hub, on product design, development and creative direction to ensure a unified brand vision.

Back in August, it was announced Adidas had sold Reebok to ABG for a substantial “total consideration of up to 2.1 billion euros”. The deal is expected to close in the first quarter of 2022.

In a statement by ABG’s COO, Corey Salter, ABFRL will be responsible for “solidifying Reebok’s position with a growing audience of fans in India and Southeast Asia”.

He 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.”