August 5, (THEWILL) – Manchester United shirt sponsor, TeamViewer, has stated that they would not renew their sponsorship when the current contract expires in 2026.
Just 18 months ago, the German software company and United agreed to a £47 million annual contract, which was criticised by a number of financial experts. However, since replacing the previous sponsors, Chevrolet, share prices have fallen by as much as 80%.
The £235 million deal has been largely held responsible for TeamViewer’s precarious financial state, despite the fact that external factors have also played a role.
A statement from the company read: “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.”
Following the company’s announcement that it would not proceed with the United deal, TeamViewer’s stock price, which had dropped by 8% in its most recent financial forecast, rose by 5% and Oliver Steil, the company’s CEO, commented: “The current macro-economic environment [including the effects of the pandemic and the war in Ukraine] has made decision-makers more cautious, and has postponed investments.”
About the Author
Jude Obafemi is a versatile senior Correspondent at THEWILL Newspapers, excelling in sourcing, researching, and delivering sports news stories for both print and digital publications.
