Egyptian billionaire Nassef Sawiris takes Adidas chair, holds $2 billion stake

Nearly eleven years after buying into German sportswear giant Adidas, Egyptian billionaire Nassef Sawiris is set to become chairman as the company also secures CEO Bjorn Gulden through 2030. The moves, announced Wednesday, address two key governance questions at once. Shareholders will vote on Sawiris succeeding Thomas Rabe at the annual meeting on May 7 in Fürth, Germany, while Gulden’s contract extension locks in the executive who has overseen Adidas’s recovery from one of its worst crises in decades.

Sawiris, 65, first acquired a stake in Adidas in October 2015 through his investment company NNS Holding Sàrl Luxembourg. By 2016, he joined Adidas’s supervisory board and became deputy chairman in 2025. His holding, valued at $2.05 billion, reflects a long-term commitment to the company and aligns closely with shareholder interests. If approved, Sawiris would bring direct operating experience across construction, chemicals, energy, and sports, combining commercial insight with board-level familiarity.

Investors back leadership shift at Adidas

Rabe’s departure comes after years of investor dissatisfaction. He had chaired Adidas’s supervisory board since August 2020 while serving as CEO of Bertelsmann and RTL Group. In 2025, shareholders reelected him by just 64.4 percent, signaling concerns over his divided focus. Major investors, including Allianz Global Investors and Deka, opposed his reappointment, arguing he could not dedicate sufficient attention to Adidas. Proxy advisory firm ISS had also recommended against him the previous year.

Gulden’s extension carries less drama but significant weight. When he arrived in early 2023, Adidas was reeling from the sudden collapse of its Yeezy partnership, which had contributed hundreds of millions of euros in annual revenue. He refocused the company on performance sports, U.S. college athletics, and lifestyle lines, while managing full-price selling and inventory. By 2025, Adidas posted record revenue of €24.8 billion ($28.8 billion), up 13 percent in currency-neutral terms, and operating profit of €2.06 billion ($2.38 billion), a jump of €700 million ($811.7 million) from the prior year.

Adidas cuts 2026 profit forecast amid Middle East crisis

Looking ahead, Adidas forecasts operating profit of around €2.3 billion ($2.7 billion) in 2026, below analyst expectations due to Middle East conflicts and currency pressures. Stores in the region have closed, and one in Israel was damaged during an attack. Gulden and CFO Harm Ohlmeyer said the company would have reached a 10 percent margin if not for tariffs and the weaker dollar, which cut €400 million ($464 million) from earnings.

Gulden emphasized agility, noting, “Right now we are in the middle of a huge crisis for the whole world in the Middle East. That means reacting quickly is more important than sticking to a plan. Despite these challenges, Adidas expects high-single-digit sales growth in 2027 and 2028, maintaining confidence in Gulden’s strategy while Sawiris’s appointment signals a deeper link between board oversight and shareholder interests.