Yesterday, the Barcelona general assembly ratified the deal which gives the club a minimum €155m per year from 2018. There is also an uplift on the remaining two years of the current deal.
Nike And Barcelona Kit Deal
— FC Barcelona (@FCBarcelona_es) October 29, 2016
An overwhelming majority of socios voted in favour of the deal, almost 97% of 603 votes cast.
The ten-year deal is worth €1.55bn over it’s full term. The next two years are likely to see the revenues rise by €20m to €85m per annum. The structure of the deal is €105m for the kit deal with a further €50m in recovery of licence fees for managing its own stores in both the Camp Nou and around the world.
That brings the club’s biggest revenue stream back under its control which formerly rested with Nike. Licences allow Barca to market any product which isn’t a kit or training wear.
Announcing the deal, the FC Barcelona president Josep Bartomeu said, “Through this new agreement with NIKE we are extending a strategic alliance for the Club, while also reinforcing our global position, hand in hand with the leading global sports brand”. Which is football speak for “we’re going to make bucketloads of money”.
As a result of Nike paying out €1.5bn, it’s estimated the kit manufacturer’s revenues will exceed €3bn over the ten-year period.