After the announcement of the end of the partnership between Ye and Adidas a few months ago, it appears that the three-stripes brand is selling the remainder of its Yeezy stock, much to sneakerheads' delight. Here are the explanatory posts published by @yeezymafia:
Photo Credits: @yeezymafia (Instagram)
"Adidas will sell some of the products from its Yeezy partnership with rapper Kanye West and donate a portion of the proceeds to international organizations, its CEO Bjoern Gulden said on Thursday.
The German sportswear giant has been in a difficult position regarding its Yeezy stock since it severed ties with West over his antisemitic comments at the end of last year, with the controversy weighing on its shares and affecting its bottom line.
Millions of Yeezy-branded shoes, worth 1.2 billion euros, have been sitting in storage since their sale was suspended.
Their value on the resale market has soared since Adidas stopped producing them, with the price of some models more than doubling."
Photo Credits: @yeezymafia (Instagram)
"Mr. Gulden indicated that the company had decided not to donate the sneakers to prevent them from reaching the market through indirect channels.
Adidas shares were up 2% at 12:45 GMT.
"It's a smart and responsible decision," said Ed Stoner, a sportswear industry consultant who previously worked at Adidas, adding that it "not only preserves brand integrity but avoids a sustainability crisis."
By selling some of its stock, the company could minimize a $700 million loss this year, but it remains unclear exactly how much stock will be sold and what proportion of the sale proceeds will be donated.
If the goods are sold, Ye will be entitled to previously agreed commissions of 15% of revenue, according to media reports. Adidas declined to comment on this matter.
Mr. Gulden defended Adidas' years-long collaboration with the rapper, stating that "even though he has been difficult, he is perhaps the most creative mind in our industry."
Mr. Gulden recently said he envied Adidas for this collaboration while he was still CEO of Puma."