Joan Laporta’s Barça has been working for months on renewing its contract with Nike. The objective was to improve the current link that extends until 2028 and extend it until 2038, going from a contract of 60 million euros per year to another of about 100 million per year. This figure includes a prorated renewal bonus of 100 million euros.
Everything is progressing as planned. As he advanced RAC 1 and could confirm The Vanguardthe board met this Friday electronically and urgently to ratify this new agreement that has been reached with the North American company. In total there are 1,700 million euros that Barcelona will earn in these 10 years if all the contemplated variables are met.
The new agreement that Nike approves but has not yet signed is closed with two negotiated payment tranches, the first from 2024 to 2028 and the second until 2038.
There are many improvements in the new writing. The basis of the current agreement with Nike that was signed in 2016 is a contract of about 120 pages with 85 million fixed and about 20 million royalties to which annexes have been added that specify amounts, terms, clauses, concepts that add up and others that remain. The latter, popularly known as malus, will disappear in the next contract.
Sources familiar with the 2016 negotiations tell this newspaper that, for example, winning the men’s Champions League meant earning 5 million more. Not qualifying to compete in the European competition left 10%, so the figures vary. The current successes of Barça Femenino were not contemplated in this agreement either. However, currently, around 64 million euros are being received annually, a figure that Laporta’s board considered insufficient.
With the new contract that Nike has yet to sign, Barcelona will register considerable improvements. The new pact will be divided into two sections. In the first, some 48 million more annually will be added to the current 60 million from 2024 to 2028, that is, 108 million euros of annual income. Beyond 2028 and until its completion in 2038 there will be an improvement of between 58 and 60 million. Both tranches include the prorated renewal bonus of 100 million.
A long negotiation
Relations with the multinational, which has dressed Barça since 1998, have experienced their most tense moment in recent months. In March, Barcelona was debating between creating its own brand or managing a new contract with other multinationals such as Puma.
There were several reasons. According to club sources, Nike failed to honor some bonuses for total sales that had neither been quantified nor settled to Barça. In fact, in 2021 and with the previous board, there were other litigations with a crossroads of lawsuits that continue their course to claim 50 million from Nike for abuse of dominant position, non-payment of royalties for the sale of replicas and abusive penalties.
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However, at the end of March, president Joan Laporta explained that he was considering unilaterally terminating the relationship with Nike, the official sponsor of the shirt until 2028, due to breach of contract. Nike responded by filing a series of injunctions. And he came out on top because in mid-July the Provincial Court of Barcelona ruled him right. Barça could neither terminate the contract nor should it negotiate with third parties.
Now, after months of negotiation, the board electronically ratified the new agreement that Nike approves but has not yet signed. At the last assembly of delegate members, treasurer Ferran Olivé already showed that the negotiations were on the right track. This season’s budget foresees a record turnover in the commercial area, which will go from 374 million to 446 million in income, thanks to the increase in income from BLM, the entry of new sponsors and the renewal of the contract with Nike. “In the sponsorship part we will remain, but the important change is the agreement that there will be with the club’s sponsor that will help increase ordinary income,” said Olivé, referring to Nike.
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