Advertisement
YOU ARE HERE: LAT HomeCollections

SPORTING GOODS | NATION / WORLD

Adidas to Buy Salomon for $1.4 Billion

September 17, 1997|Reuters

Adidas, setting its sights on becoming a global sporting goods industry powerhouse, said it will buy French sports equipment group Salomon in a deal valued at about $1.4 billion. Adidas would be able to offer a dizzying array of products by acquiring Salomon's ski equipment as well as Mavic bicycles. And with Salomon's well-known Taylor Made golf clubs, the deal would also give the German sports and apparel group a way to tap into the global craze created by golfer Tiger Woods--who has a $40-million contract with Adidas rival Nike Inc. Adidas would take control of Salomon by buying 100% of the Salomon family's Sport Developpement, which in turn owns 38.91% of the share capital and 56.18% of the voting rights of Salomon. Adidas said it plans to buy all outstanding shares in Salomon for cash in a simplified public takeover. Adidas would be renamed Adidas-Salomon. Shares of Herzogenaurach, Germany-based Adidas fell about 1% to close at $121.75. Adidas is set to join the 30-share DAX index this fall.

Advertisement
Los Angeles Times Articles
|
|
|