adidas and Kanye West have officially ended their tumultuous legal battle, the German sportswear giant confirmed on Tuesday. The two parties have reached an out-of-court settlement, ending a series of lawsuits that began in 2021 after adidas cut ties with West’s Yeezy brand.
The decision to end the partnership came in the wake of a series of highly publicized anti-Semitic comments made by the rapper. The fallout from the incident had a significant impact on Adidas’ financial performance, particularly in the quarters following the split.
However, the company has since rebounded and even raised its full-year guidance, thanks in part to the strengthening of other core businesses.
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“There are no outstanding issues and there’s no money going either way, and we’re both moving on,” adidas CEO Bjorn Gulden told reporters on a conference call, according to Reuters. He stressed that both parties had agreed to drop all claims, effectively ending the lawsuit.
While the Yeezy collaboration was once a major growth driver for adidas, the company has shown resilience in dealing with the challenges posed by the abrupt end of the partnership. By focusing on other aspects of its business, adidas has successfully mitigated the negative impact and positioned itself for future success.
