Logo of German shoe company, Adidas. (Photo : Reuters)
Athletic wear conglomerate, Adidas strikes a deal with Austria based mobile application developers on August 5.
Runtastic, a mobile fitness app creator, has just been procured by Adidas for 220 Million Euros as part of Adidas 'Creating the New' Campaign which aims to give athletes a chance of fully integrating sports in their lives.
The software designers have grown substantially since 2009 with their mobile apps gaining about 70 million listed clients and over 140 million downloads and offers multilingual options including, English, German, Chinese and 15 other languages.
With the developers showcasing over 20 mobile apps, ranging from lifestyle, fitness and health software, the sportswear giant believes that with Runtastic's help they could equip people with a variety of goods, leading them to pursue more healthy and lively lifestyles Adidas reports.
Meanwhile, competitor Nike has participated in the technology trend for years, with its long standing partnership with Apple, giving consumers one of the first fitness apps, Nike +, since the iPod touch's release and in 2012 distributed a fitness wristband, FuelBand, according to Fortune.
In a statement made by Adidas CEO, Herbert Hainer, he explains that digital enhancements have produced new competences in sporting by providing sportspersons an outlet to impart their experiences and finding novel ways of refining their skills.
Other contenders in the digital fitness trend have also rose, including Jawbone and Fitbit causing Nike to cut back on the aforementioned FuelBand. America's top 3 in sporting attire, Under Armour, has begun with tech trends as well, purchasing MapMyFitness in 2013 and MyFitnessPal, as well as Endomondo, in 2015.
The formalities have been settled last Wednesday, with 42law, Milbank Tweed Hadley & McCloy LLP representing Runtastic with Allen Company LLC as its financial advisor. Adidas, represented by Ashurst LLP and Schoenher, took financial advice from the Deutsche Bank.
