In addition to giving up its rights as the NBA's official outfitter in 2017-2018, adidas is getting out of the throwback fan gear business.
Reuters reports that adidas has agreed to sell sports clothing company Mitchell & Ness to a newly formed entity primarily owned by U.S. private equity firm Juggernaut Capital Partners. While official numbers weren't disclosed, the deal is described as a "one-time gain in a the low to medium double-digit million euro range."
With the cash, adidas plans to re-invest in its "Creating the New" brand strategy.
"Nostalgia headwear and apparel is not core to this strategy and the sale of Mitchell & Ness will allow us to reduce complexity and pursue our target consumer more aggressively with our core brands," adidas said in a statement earlier today.
