Real Madrid, the Spanish soccer giants, have agreed a renewed 12-year kit deal with incumbent partner Adidas, the German sportswear giant, worth $1.8 billion, according to the reports. The deal will officially be signed at the end of the season and come into effect for the start of the 2019-20 campaign, a year before the existing deal between the two parties was due to expire, according to Spanish sports newspaper Marca.
Adidas has been the LaLiga club’s kit supplier since 1998, and the present agreement is understood to be worth a maximum of $59 million per year.
As part of the extended deal, Real will also receive 20 per cent of sales related to club merchandise and be supplied with $10 million in equipment and kit for the club’s various teams.
Adidas will also have its own retail space inside Real’s Santiago Bernabeu stadium when the renovations to the venue are complete, with the store expected to be the brand’s biggest in the world.
Real announced earlier this month that work to remodel the iconic venue is finally set to begin at the end of this season, and is expected to take between three and four years.