Adidas to buy Reebok for $3.8B

The world’s second- and third-biggest sports goods companies said on Wednesday Adidas would buy the outstanding shares of Reebok for $59 per share in cash, a 34 percent premium to Reebok’s closing share price on Tuesday.

The combination will create a more formidable competitor to battle Nike’s dominance of the market for athletic gear, particularly in the United States, which accounts for 50 percent of the sports footwear market alone.

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