By Nicholas P. Brown
April 9 (Reuters) - Nike is in exclusive negotiations to become the new official match ball provider for all UEFA men's club competitions, according to a statement on Thursday from UC3, the joint venture between UEFA and European Football Clubs.
Landing the contract, which had belonged to rival Adidas for 25 years, would be a win for Nike as it tries to turn around its struggling business.
But it would not be a silver bullet, analysts say, for a company whose main struggles have
to do with a lack of innovative products.
"I’m skeptical this meaningfully moves the needle in aggregate in the immediate term, but ... likely helps in the medium term," said Drake MacFarlane, an analyst at M Science.
The contract would last from 2027 through 2031, according to the UC3 statement. Nike previously wrested from Adidas a contract to become the official supplier of the German Football Association (DFB).
Nike did not immediately respond to requests for comment.
Adidas in a statement confirmed it would not renew its contract with UEFA, saying it was "proud to have created the most iconic ball range of all time."
Nike has flailed in recent years as its delivery of innovative new products has stalled, and smaller competitors like On and Deckers' Hoka have chipped away at its shelf space. CEO Elliott Hill, appointed in 2024, has vowed to redouble Nike's focus on core sports, including football.
The Champions League, UEFA’s premier club competition, has an audience of some 1.2 billion, according to UEFA's annual report for the 2024-2025 season. It could give Nike a key visibility boost as it tries to right its ship.
But Nike's primary pain points are China - where sales have fallen double digits for several quarters in a row - and its inability to work through old inventory and excite the market with new sneakers.
"There’s no sponsorship that will fix Nike’s problems," said Morningstar analyst David Swartz. "There are competitors that do well with minimal sports sponsorships. Nike still needs unique and functional products to drive sales."
The value of the deal across the competitions could roughly double to more than 40 million euros ($46.70 million) a year, the Financial Times reported on Thursday, citing a person familiar with the matter.
($1 = 0.8565 euros)
(Reporting by Nicholas P. Brown; additional reporting by Helen Reid; editing by Kirsti Knolle and Arun Koyyur)
