Nike is buying Sportswear, but it’s not making any money from the deal
Nike and Adidas have a $2 billion deal in the works to purchase Sportswere, a clothing company based in the United Kingdom.
The Nike-branded footwear maker already makes shoes for the likes of the NBA and MLB, and is also rumored to be developing shoes for other brands.
But it has a bigger deal in store.
According to a report from the Wall Street Journal, the deal will see Nike pay $1 billion for the company.
That would make the combined company the largest Nike-owned company in the world, according to Forbes.
The Wall Street report also notes that Nike will retain ownership of Sportsweek, though it will no longer own the company as an independent entity.
The deal also means that the company will be owned by the Nike family, which means that Nike could continue to use the name Nike, even as the two companies work together on footwear and apparel.
The deal, which is worth a reported $1.4 billion, is the largest acquisition by a U.S. company to date.
While the deal is expected to close sometime next year, Nike has said it expects to make the deal public before then.
The sale is expected and could close in the next year or two.