Adidas has agreed to sell its Reebok business to Authentic Brands Group for up to $2.5 billion.

ABG reportedly made an offer in May to acquire Reebok for $1 billion but withdrew its bid two months later due to adidas’ demands that ABG operate the brand as a standalone business.

Now, ABG will pay more than double its initial bid for the footwear and clothing company. 

Adidas acquired Reebok in 2005 for $3.8 billion to compete with Nike, but its underwhelming performance sparked a willingness to offload the business. 

• The brand suffered more than $100 million in losses in 2020.
• 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. 

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

Reebok will add to ABG’s portfolio of more than 30 brands across 5,950 brick-and-mortar stores. The privately-owned brand manager pockets roughly $14 billion in retail sales annually. 

ABG owns Sports Illustrated and athletic apparel and equipment brands like Prince Sports, Tapout, and Volcom. Its fashion brands include Nine West, Brooks Brothers, and others.

Goldman Sachs is raising $1.17 billion to fund CVC Capital Partners’ equity deal with La Liga while also reportedly organizing a $615.8 million credit facility for FC Barcelona.

Barcelona will use the cash influx to refinance debt and improve liquidity. The team saw superstar Lionel Messi leave for Paris Saint-Germain this week because it could not afford to keep him.

• The CVC deal was approved on Thursday with 38 out of 42 teams voting in favor.
• It provides $3.17 billion to La Liga and its teams in exchange for 11% of the league’s broadcast and sponsorship rights for 50 years.
• On Thursday, CVC altered the terms of the deal to allow clubs to opt out. 

Barcelona and Athletic Bilbao opposed the CVC deal and Real Madrid has said it will take legal action to stop it. La Liga president Javier Tebas said that if those clubs three opted out, the CVC investment would likely be between $2.47 billion and $2.58 billion.

This is not Goldman Sachs’ first foray into financing European soccer. 

In 2017, it created a corporate structure that allowed AC Milan and AS Roma to issue bonds against their sponsorship and media rights.

The bank also advised AS Roma during billionaire Dan Friedkin’s takeover of the club last year and led bridge financing for Tottenham Hotspur’s new $1.7 billion, 61,500-seat stadium.

Univision Communications released second-quarter earnings on Thursday, recording $700.2 in overall revenue — up 32% year-over-year. Advertising revenue jumped by 72%.

Net income reached $36.6 million, a significant increase from the net loss of $27.3 million during the same period last year.

The strong numbers come as Univision plans for large-scale expansion.

• In April, the company announced plans to merge with Televisa in a $4.8 billion deal, creating the largest Spanish-language media company in the world. The merger is expected to close in the fourth quarter, pending regulatory approval.
• In June, it unveiled plans for a streaming service in 2022, complete with expanded sports offerings. It already owns 61 television stations and 58 radio stations in the U.S. and Puerto Rico. 

Univision’s sports division merged with Televisa’s in 2019. In addition to partnerships with NFL and MLB teams and a five-year deal with Combate Global, the network covers the Mexican League, Copa MX, Liga MX, and in March acquired rights to the 2021 Copa America and 2022 Women’s Copa America.

Univision attributed “two major soccer tournaments” for part of the reason its media networks segment saw revenue increase 27% to $640.3 million during the quarter.

Operating expenses increased 125% to $144.4 million “primarily due to the return of live soccer matches.”