Manchester United shirt sponsors TeamViewer have agreed to end the agreement early.
TeamViewer will remain as Manchester United’s sponsors until a replacement is found, Business Wire reports.
The tech company agreed a lucrative sponsorship deal with Manchester United in June 2021, running for five years.
The main contract to 2026 will continue with TeamViewer remaining a ‘global partner’, however, a new shirt sponsor is being sought.
The press release describes the agreement as ‘mutually beneficial’ for club and the company.
How much was TeamViewer contract
The five-year agreement was worth £235 million to Manchester United.
However, The Mail reported in the summer that the company’s share price had dropped by 80 per cent over the past 12 months.
They released a statement at the time reading: “The international awareness of the brand was clearly increased last year through the partnership (with United).
“Nevertheless, the company has decided to review its long-term marketing strategy in light of the current macro-economic environment.”
TeamViewer also have a contract with Formula 1 team Mercedes.
United managing director Richard Arnold, now CEO said at the time: “We are tremendously proud to be establishing this partnership with one of the most exciting and dynamic global software companies.”
United will now not receive the full value of the agreement, two full seasons will have been completed at the end of this campaign, but the lost earnings can be replaced by new sponsorship money from their eventual replacements.
TeamViewer were urged to end sponsorship
Just last month they were urged to cut the agreement by some of their own investors, the Petrus Group.
In a letter to the German company’s CEO, made public via Swiss Info, they described the sponsorship as ‘appalling judgement’.
It added: “We demand that you stop bleeding millions and rapidly disengage from this mess. We therefore demand that you enter professional exit discussions with a clear goal of a quick solution and that you do it immediately.”
New sponsors incoming
A swift solution has now been found, and Manchester United are likely to have new sponsors from the 2023/24 season.
This should work out well for the club, to tie in with potential new ownership, and a brand could be more attractive when not associated with the Glazers.
After announcing a deal with Manchester United in 2021, TeamViewer were bombarded with criticism and negative reviews online from supporters taking action against the Glazers.
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