Nike has confirmed the 10-year extension of Chinese Super League (CSL) kit sponsorship deal after claims from various media reports emerging earlier this week.
Financial terms of the agreement were not disclosed but Chinese media reports have stated that the deal has been signed at a 100% premium on the existing value and is worth RMB 3 billion ($470 million).
The clubs, under the deal, are reportedly expected to benefit from the share $345.3 million (RMB 2.2 billion) worth of equipment and $125.5 million (RMB 800) million in cash over the decade-long deal.
Nike’s confirmation of the deal coincides with the unveiling of its new kit for the Chinese National Football Team. The CSL deal will also cover the grassroots events and the community services initiatives of the Chinese Football Association (CFA).
The US-based sportswear brand also pledged to continue its support for the Hong Kong Football Association (HKFA), Macau Football Association and other clubs throughout Greater China.
“This contract renewal reflects Nike’s commitment to the growth of football in China, with support at both professional and grassroots levels,” Nike has said in a statement on its official website.
The new deal will come into effect from June 2019, after the present agreement ceases to exist. The deal will run through five years after which it will be reviewed for a further extension until 2028 season.