Adidas is finally offloading more than $1 billion worth of Yeezy brand sneakers it has been pondering the fate of ever since its business deal with Kanye West exploded last October.
The first batch of the popular shoes will go on sale Wednesday, May 31, exclusively through the company’s website and its confirmed app. The company says it will donate a “significant amount” of the sale price to organizations fighting discrimination, anti-Semitism, and racism, including the Anti-Defamation League (ADL) and the Philonise and Keeta Floyd Institute for Social Change.
Adidas did not specify what percentage of the sale would be donated, but added that the sale of the shoes will have no immediate impact on its financial guidance for 2023.
“After careful consideration, we have decided to begin releasing some of the remaining Adidas Yeezy products,” Adidas CEO Bjørn Gulden said in a statement earlier this month. “Selling and donating was the preferred option among all organizations and stakeholders we spoke to. We believe this is the best solution as it respects the created designs and produced shoes, it works for our people, resolves an inventory problem, and will have a positive impact in our communities.”
Wednesday’s sale will not clear out all of the remaining inventory. Adidas says it is considering other releases, but the timing is not yet determined.
Adidas tried to weather the storm of controversy surrounding West after his string of anti-Semitic comments, but found itself forced into a corner and ended the partnership in late October of 2022, ceasing production of Yeezy branded products and stopping all payments to Ye and his companies. The termination of the deal sunk the market valuation of Yeezy and resulted in $1.5 billion evaporating from his net worth.
The shoes, though, have become hot items among collectors since they’ve become limited editions. The two styles that will go up for sale Wednesday carry a $230 retail price, but will likely sell for many times that on resale sites.