Aditya Birla Fashion, Authentic Brands to take over Reebok’s India, ASEAN countries' ops

Aditya Birla group’s fashion retail division Aditya Birla Fashion and Retail Limited (ABFRL) has entered a strategic partnership with a global brand development and marketing company Authentic Brands Group (ABG) to take on Reebok’s India operations, according to an official press release. ABFRL announced that it has signed a long-term licensing agreement which grants it the exclusive right to distribute and sell Reebok products via wholesale, e-commerce and Reebok branded retail stores in India and other ASEAN countries.
 
ABFRL will also team up with Reebok Design Group, the newly established global brand based out of Boston, on areas like product design, development, innovation and creative direction for building a unified brand vision and voice. The release further states that this deal marks ABFRL’s foray into the fast-growing sports and activewear segment. The segment is likely to grow to $13 billion by FY24 at an annual growth rate of around 14 percent.
 
“As Indians get more active, athletic and health focused, their consumption of apparel and accessories is expected to increasingly change in line with these trends, providing an opportunity to build iconic brands of global repute,” ABFRL MD Ashish Dixit commented on Indians’ increasing focus on fitness and health being the reason behind this development. He further noted that Reebok is a big brand and has a strong presence in the Indian market. Dixit mentioned that they plan to accelerate Reebok’s India business, adding this transaction will further strengthen ARFL’s portfolio and increase its capability to engage with customers across demographics.
 
For ABG, this partnership helps furthering its global strategy of assembling a network of core operating partners vis-à-vis Reebok. “ABFRL is a champion of the fashion industry in India with proven expertise in building and operating large-scale lifestyle brands across the region. We are very pleased to expand our existing partnership with ABFRL, which includes Forever 21 and other ABG brands, and are confident that ABFRL will be successful in solidifying Reebok’s position with a growing audience of fans in India and Southeast Asia,” ABG COO Corey Salter noted.

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