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ESPN FC Posted by ESPN staff
Jul 14, 2014

United agree £750m adidas deal

FC's Shaka Hislop reacts to the announcement that Adidas will take over as Manchester United's kit sponsor. Hislop indicates this is a signal of intent for United and Adidas, as Manchester United are among the biggest brands in the world.

Manchester United have announced the agreement of a 10-year, 750-million-pound ($1.28 billion) contract with adidas -- the biggest deal in sports-licensing history.

The confirmation follows last week's news that Nike will stop producing United shirts after this coming season.

Nike confirmed Tuesday that it was bowing out of negotiations over paying for the right to manufacture the kit, refusing to match the offer put forward by adidas, which will net the club a minimum of 75 million pounds ($128 million) a year. 

statement on United's website said, "Manchester United plc has reached agreement with adidas for a global technical sponsorship and dual branded licensing deal for a minimum guarantee of GBP 750 million, subject to certain adjustments, beginning with the 2015-2016 campaign.

"For the 2014-15 season, Nike will continue in its role of technical sponsor and trademark licensee."

In a statement last week, Nike spokesman Nigel Powell said United were "a great club with passionate fans" and added: "We are proud to have partnered them for the last 12 years and will continue to sponsor the club until the end of the 2014-15 season.

"Any partnership with a club or federation has to be mutually beneficial, and the terms that were on offer for a renewed contract did not represent good value for Nike's shareholders. We look forward to a successful final season with the club."

Last Monday, Nike unveiled the new United home kit with a new sponsor logo. Chevrolet is paying about $90 million a year for a seven-season partnership that starts this season.

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