Man Utd & Adidas Agree £750m Partnership

Following months of speculation, adidas has signed a record £750m, 10-year deal with Manchester United to replace Nike from the end of the upcoming season.

Nike will end its 13-year association with the club at the end of 2014/15 after deciding against using its period of exclusivity to negotiate an extension or match any other offer thereafter.

The company claimed the terms ‘did not represent good value for Nike’s shareholders.’

In the current deal Nike has been paying United £23.5m a year, with the new partnership with adidas worth a world record-breaking £75m a season to the Old Trafford club.

Real Madrid had the previous record, also with adidas, who paid the Champions League winners £31m-a-year.

adidas will provide training and playing kit to all the club’s teams and will have the exclusive right to distribute dual-branded merchandising products worldwide.

‘We are excited to team up with Manchester United, one of the most successful and most loved football clubs globally. Our new partnership with Manchester United clearly underlines our leadership in football and will help us to further strengthen our position in key markets around the world,’ said Herbert Hainer, adidas Group CEO.

‘At the same time, this collaboration marks a milestone for us when it comes to merchandising potential. We expect total sales to reach £1.5 billion during the duration of our partnership.’

The club has already unveiled the last kit bearing the Nike logo, featuring Chevrolet as shirt sponsor for the first time – reportedly paying £53m a year to have its name on the shirt.

adidas is the latest high-profile arrangement signed by Manchester United, which does not have European football next season, including an agreement last year to rename their Carrington training ground.

The ground was rebranded the Aon training complex as part of a ground-breaking eight-year naming rights agreement worth around £15m a season.