Adidas Headquarters Raided in Tax Investigation

Authorities have raided Adidas AG's headquarters in Herzogenaurach amid a protracted tax investigation focused on customs and tax compliance for products imported into Germany from October 2019 to August 2024. The company confirmed the searches, which involved offices at its headquarters and other locations, and stated that it has been cooperating with customs authorities for several years regarding this matter. Adidas maintains that it does not expect any significant financial repercussions from the investigation and is working closely with officials to clarify issues stemming from different interpretations of law. This investigation follows a series of controversies faced by Adidas, including its fallout with rapper Ye. The company reassured stakeholders of its compliance efforts despite the ongoing scrutiny, which has raised questions about its customs practices. Shares of Adidas showed a slight increase during extended trading following the confirmation of the investigation.