The European Commission has cleared the proposed € 3.1 billion acquisition of US-based Reebok International Ltd by adidas-Salomon AG. The Commission concluded that the transaction would not significantly impede effective competition or any substantial part of it.

The Commission’s investigation into the proposed merger focused on the market for athletic footwear in Europe, where both adidas and Reebok are strong players. The investigation showed that there are horizontal overlaps between the activities of adidas and Reebok, however, the market investigation revealed that the two companies have slightly different brand and pricing positions.

The report concluded that adidas is perceived as a professional, technically-oriented brand with strong European roots whilst Reebok predominantly targets young people and women, is more of a leisure” brand, and has a stronger presence in American sports that are not excessively popular in Europe.