Authentic Brands Group has withdrawn its bid to acquire Rebook from adidas, according to the New York Post. 

A retail conglomerate with 30 brands across 5,950 brick-and-mortar stores, ABG made an offer in May to purchase Reebok for $1 billion.  

Adidas acquired Reebok for $3.8 billion in 2005. 

The potential acquisition reportedly dissolved due to adidas’ demands that ABG operate Reebok as a standalone business, among other stipulations. 

ABG planned to integrate Reebok’s U.S. business with Sparc Group, its joint venture with real estate investment trust Simon Property. Sparc operates Aeropostale, Brooks Brothers, Forever 21, and Nautica. 

Reebok has been losing momentum in a sportswear market expected to reach $247.4 billion by 2027. 

• The brand suffered more than $100 million in losses in 2020, preventing potential buyers from borrowing in order to purchase
• It generated $1.5 billion in revenue last year, down from $1.8 billion in 2019
• It failed to renew its apparel deal with the UFC after a six-year partnership

ABG is preparing for an initial public offering with a target valuation of about $10 billion, according to CNBC. 

Adidas will wrap up its next round of bids for Reebok on Aug. 2, with Chinese sportswear manufacturers Anta Sports and Li Ning said to still be in the running. 

Buyout firms Advent International, Cerberus Capital Management, CVC Capital Partners, and Sycamore Partners have also expressed interest in purchasing the sportswear brand.

Dyal Capital is reportedly nearing the end of discussions to acquire close to 5% of the Sacramento Kings through its Dyal HomeCourt Partners fund, according to The Wall Street Journal.

The deal would value the Kings at $1.5 billion to $1.8 billion and mark another major NBA investment for Dyal, whose HomeCourt fund is looking to raise an initial $1 billion to purchase stakes in at least six teams.

In the seven months since the NBA agreed to allow private equity firms to purchase stakes in teams, there has been a flurry of action:

• Dyal purchased under 5% of the Phoenix Suns last week, valuing the team at $1.55 billion — four times owner Robert Sarver’s investment in 2004.
• The Golden State Warriors were the first team approved to sell a piece of the team to a private equity firm in May. Arctos Sports Partners bought a 5% stake.
• Sixth Street purchased a 20% stake in the San Antonio Spurs last month, valuing the team at an estimated $1.8 billion.

The Kings were sold to a group led by tech mogul Vivek Ranadivé in 2013 for a then-record valuation of $535 million.

Electronic Arts revealed that the latest installment of its “FIFA” franchise will be available on Oct. 1, 2021, and features French superstar striker Kylian Mbappé on its cover.

“FIFA 21” has amassed more than 25 million console and PC players since its October 2020 release, and its Ultimate Team offerings helped EA pocket $1.6 billion in FY2021.

FIFA, the governing body of soccer, reported that $158.9 million of its total 2020 revenue of $266.5 million came from licensing rights fueled by video games.

Despite its success, the “FIFA” franchise has also been tangled in controversy.

• In March, EA opened an investigation into allegations that at least one employee had been selling rare FIFA Ultimate Team cards for as much as $2,500 through a back channel. The publisher later confirmed unauthorized sales.

“FIFA 22” marks the second cover appearance for Mbappé, who earns more than $20 million annually with Paris Saint-Germain F.C. 

Mbappé has made $40 million in total earnings in the last 12 months, ranking him fourth in soccer behind Lionel Messi ($130 million), Cristiano Ronaldo ($120 million), and Neymar ($95 million), per Forbes.