Adidas has inked the most lucrative uniform deal in sports. The German company officially snagged the rights to produce Manchester United’s uniforms in a 10-year technical partnership. The price is at an astounding £750 million ($1.28 billion), and the three-stripes estimates to make a little more than double its investment during the decade.
“At the same time, this collaboration marks a milestone for us when it comes to merchandising potential," said adidas CEO Herbert Hainer. "We expect total sales to reach 1.5 billion GBP ($2.5 billion) during the duration of our partnership."
This news comes at the heels of two adidas sponsored teams, Argentina and Germany, going head-to-head at the final stage of the World Cup. But is it a good deal for adidas? Nike walked away from the potential partnership due to the astounding price Man. U was asking for. But adidas was more than willing to swoop in and sign one of the most successful clubs in English football history. So far, adidas is winning the ongoing battle between the two sports apparel giants, but only time will tell if this was the right move.