Germany's Adidas is going to buy U.S. Reebok for $3.8 billion, closing in on Nike and promising a profit jump by expanding in the United States and entering new markets around the world.
The combination will create a strong competitor to battle Nike's dominance of the market for athletic wear, particularly in the United States.
The takeover combines Adidas's strengths in Europe with Reebok's strong position in the United States.