Authentic Brands Group has revealed a number of new strategic operating partners for key regions around the world following its acquisition of the Reebok brand.
The global brand development, marketing and entertainment company has secured a long-term deal with retail enterprise SPARC Group, which will see it become the core licensee and operating partner for Reebok in the US.
SPARC will oversee sourcing, manufacturing, branded retail stores, ecommerce operations and wholesale distribution for Reebok in the US.
Categories include footwear for men, women and children, as well as lifestyle and active apparel for adults.
The addition of Reebok will increase SPARC’s store count to 1,600 doors, grow its ecommerce platform to more than $1 billion and bring its total retail sales to approximately $5.5 billion.
Reebok itself is expected to double its annual revenue to $8-10 billion over the next three to five years, ceo Jamie Salter told CNBC. At the same time, ABG has put its planned IPO “on hold for a couple years,” Jamie said.
SPARC will also serve as the global hub for the newly created Reebok Design Group, which will be responsible for all design, development, innovation and creative services to partners around the world.
“Reebok is the most monumental acquisition in ABG’s history,” Jamie continued. “Because of the reach of Reebok’s business around the globe, an essential part of the strategy was to maintain the brand hub that supports and guides a global partner network to preserve and nurture the brand’s heartbeat and unmistakable DNA.
“Starting with SPARC for the US, we are assembling a network of strategic operating partners around the world who are committed to supporting the brand’s innovation, integrity and values.”
In addition to SPARC, ABG has also signed leading partners for key regions including The Falic Group for Latin America (excluding Mexico, Brazil and Argentina), Accent Group for Australia and New Zealand and MGS for Israel.