Rendering by SilkySmooths-Kits
Like a tit for tat battle for market share in the highly lucrative sport of soccer, Manchester United announced earlier today that the organization just signed a new 10-year licensing deal with adidas, valued at around £750 million, or $1.3 billion. The agreement will go into effect during the 2015-16 English Premier League season, when the Red Devils will don on the adidas Three-Stripe jersey instead of the Nike Swoosh. Unnamed sources close to the negotiation told Reuters that adidas pounced on the opportunity last week after Nike ended negotiation to re-sign with Man Utd. Then the Herzogenaurach-base company had to fight off competitors such as Under Armour, hence the huge payout to American billionaire Malcolm Glazer and his family, owner of the franchise. In response to the adidas deal, Nike stated “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.