Manchester United has signed a staggering $1.1 billion deal with Adidas, extending their partnership for another 10 years. The English football club, whose owners have been considering selling the team, is set to feature in the highly coveted UEFA Champions League this year, having secured a top-four finish in the domestic league last season under manager Erik ten Hag.
Adidas became Manchester United’s official kit sponsor in the 2015/16 season, marking their reunion after 23 years and taking over from Nike in a record-breaking £750 million deal at the time. The renewed partnership with Adidas brings a renewed focus on the club’s women’s team, which was reintroduced in 2018.
While talks of selling the club have been circulating since last year when its American owners, the Glazer family, initiated a formal sale process, potential suitors such as Qatar’s Sheikh Jassim bin Hamad al-Thani and British billionaire Jim Ratcliffe have emerged.
The new deal with Adidas, which begins ahead of the 2023/24 Premier League season starting next month, ensures a partnership continuation until June 2035. As per the original agreement, the yearly payments to the club are tied to its participation in the Champions League, with a failure to qualify for two or more consecutive seasons resulting in a reduction of 30% in the applicable amount.
Manchester United has not yet commented on the terms of the new deal, and Adidas has declined to provide additional information. However, Adidas CEO Bjorn Gulden has expressed his commitment to combining tradition and innovation to please both the players and the fans.
In a recent development, the 20-time English champions also raised their annual profit and revenue forecasts, indicating a positive outlook for the club.
This lucrative partnership extension between Manchester United and Adidas highlights the deep-rooted connection between the two iconic brands, promising to bring forth exciting endeavors both on and off the field. With renewed financial stability and a refreshed focus on their women’s team, Manchester United sets its sights on continued success in the Premier League and Europe’s elite competition, the Champions League.
