Nike’s deal with Manchester United ends after 2014-15 season

Adidas, Warrior, Puma could be on deck

Nike will end its sponsorship deal with Manchester United after the 2014-15 season.

The Oregon-based sports apparel and shoe maker confirmed the end of the 13-year equipment supply contract in an email.

“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,” the company said. “We look forward to a successful final season with the club.”

The club’s deal with Nike was worth a minimum 303 million pounds, nearly $519 million at today’s exchange rate.

Manchester United recently unveiled its red Nike home jerseys for the coming season, which feature a gold Chevrolet logo – reflecting the American automaker’s seven-year jersey sponsorship deal with the team worth $559 million.

The English Premier League side has been negotiating since January with several companies for a new equipment supply contract. Adidas, Warrior and Puma were among the companies interested in taking over as supplier.

Adidas, based in Germany, did not respond to email seeking comment. Puma unveiled its new uniforms for rival EPL club Arsenal on Thursday.

Manchester United has one of the most lucrative brands in sports and is the biggest money-maker in English football, generating $602 million in 2012-13. The club, purchased by the Glazer family in 2005, is listed on the New York Stock Exchange.

In April, United sold the naming rights to its training ground as part of a sponsorship deal with London-based insurance firm Aon estimated to be worth $230 million. The eight-year agreement, which starts this month, includes the Aon name on training jerseys.

Aon previously sponsored United’s match uniforms until the deal with Chevrolet.

Brands Articles

Saputo sells its bakery division to Canada Bread for $120 million

Deal in line with company's plans to become more competitive in new food categories

Why employee engagement needs to top the CMO’s agenda in 2015

And, how it will enhance competitiveness/profitability

Canada’s Hottest Ads: A very foodie November

...with a light dusting of holiday cheer

McDonald’s marketing misery

Markus Giesler on the chain's identity crisis and why it's becoming increasingly irrelevant

BlackBerry harkens back to “CrackBerry” heyday

Waterloo, Ont.-based company introduces new smartphone model with familiar features

Hudson’s Bay hires new CEO

Former Toys R Us chairman and CEO takes the reins, Richard Baker remains chairman

Country Style chooses Tag Franchise for rebrand

New branding expected to roll out next year

MasterCard’s ‘priceless’ holiday giveaway

The brand had a big surprise for Calgary charities