The partnership between Adidas AG and Beyoncé is reportedly coming to an end.
The Grammy-winning singer’s partnership with the sportswear company dated back to 2019, when Adidas first revealed they would be teaming up. Under the "multi-layered" partnership, the retail giant said Beyoncé would "develop new signature footwear and apparel, as well as re-launch" her Ivy Park line, according to a press release from the time.
The Wall Street Journal reported Tuesday that once the Ivy Park releases already slated for 2023 come out, the deal will cease. The outlet cited unnamed sources.
Ivy Park had recently not been doing as well sales-wise as Adidas had anticipated, with the brand seeing a 50% decline in that metric in 2022, according to the Journal. The company had reportedly previously been mulling over the deal and what options with it there were.
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FOX Business reached out to Adidas for comment.
The decision to stop the collaboration was mutual, The Hollywood Reporter separately reported March 23.
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The reported Adidas-Beyoncé breakup comes roughly five months after the sportswear company said it put an end to its partnership with Ye, the rapper formerly known as Kanye West. Adidas cited antisemitic remarks made by Ye that the company said "violate the company’s values of diversity and inclusion, mutual respect and fairness" regarding its decision.
Earlier in the month, the sportswear company said it generated €5.2 billion in fourth-quarter net sales, rising slightly from the €5.14 billion in the same three-month period the prior year. The termination of the Yeezy partnership had a negative effect on the company’s sales for the quarter, according to Adidas. For quarterly net loss from continuing operations, Adidas’ was €482 million, compared to a net income of €123 million in 2021’s Q4.
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The company’s stock was trading at over $76 on Tuesday afternoon. That marked a roughly 9.5% increase in price from the start of the year but about 35% lower than 12 months ago.
Julia Musto contributed to this report.
