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Category > History > Page Uploaded: 24/03/15

Adidas-Salomon AG: a new aktiengesellschaft is created (1997)

In 1997, Adidas, under the leadership of CEO Robert Louis-Dreyfus, purchased the Salomon Group and created a new aktiengesellschaft named Adidas-Salomon AG. The Salomon Group was a sportswear company that owned a range of sports brands, that included: TaylorMade, Arc'teryx, Mavic and Bonfire. The Salomon Group was founded in 1947 by François Salomon, and their headquarters were originally located in Annecy, France. Salomon's sporting goods companies were focused upon golf, cycling and winter sports: these niche sports broadened the product line of Adidas.

The adidas-salomon logo that was developed when the two sporting goods companies merged. The Salomon logo, that was developed, after adidas sold the company to a finish company.

It is probably not a coincidence that the French owned Salomon Group was purchased by Adidas when Adidas had a French CEO: Robert Louis-Dreyfus. The new Adidas-Salomon shares were listed on the DAX - German stock exchange - in 1998. The creation of Adidas-Salomon AG meant that this parent company could oversee the operation of all the different companies it owned. Each of the companies in the Adidas-Salomon AG group operated as an independent entity, and had their headquarters located in different countries. AG stands for Aktiengesellschaft, and is the German equivalent of a corporation in the United States of America, or a public listed company (PLC) in the UK.

Due to Adidas purchasing Salmon, the headquarters of Adidas-Salomon were located in Germany: in the small town of Herzogenaurach; which has been Adidas' home since it's creation in 1949. In 2005, Adidas announced that it was selling the Salomon Group to Amer Sports. The Salomon Group was sold for €480 million to Amer Sports; the sale included the Mavic and Arc'teryx brands, but did not include TaylorMade Golf. Amer Sports were founded in 1950, and own a range of sports brands, such as: Wilson, Atomic, Suunto and Precor.

Upon the sale of Salomon to Amer Sports, TaylorMade Golf was renamed to TaylorMade-Adidas Golf. Taylormade Golf was founded in America by Gary Adams, and was purchased by the Salomon Group in 1984. Salomon Group managed to turn Taylormade into a company generating annual revenues of $1 billion. Taylormade Golf were the most recognisable brand owned by Salomon when Adidas acquired them in 1997. Adidas managed to make Taylormade Golf into the most popular manufacturer of drivers in 2005. Adidas probably purchased Salomon to gain a foothold into the lucrative golf sporting goods market. It is perhaps of no surprise that Adidas decided Salomon's other - more niche - sporting goods brands were not 'fit for purpose'. Upon the sale of Salomon to Amer Sports, Adidas acquired Reebok, and a new group was founded: named Adidas Group AG.