Manchester City have signed a record-breaking new contract with Puma worth at least £1billion.
The £100million-a-year deal will see the German sportswear giants continue to make City kits until 2035, and is believed to biggest supplier deal in English football history.
Puma and the Citizens’ partnership first began in the 2019/20 season, when an initial ten-year deal worth £65m-a-year was signed.
This placed them among the Premier League’s highest earners, but it has been overshadowed by their biggest rivals more recently.
In July 2023, Manchester United sealed a 10-year contract with Adidas worth around £900m.
Liverpool also threatened to close the gap on City when they agreed a multi-year deal with Adidas in March, which is thought to be worth £60m a-season.
Since teaming up with Puma, City have enjoyed unprecedented success, winning four Premier League titles, and becoming the second English club to win the treble in 2023.
And their newly-penned contract now sees their success on the field reflected commercially, with the Sky Blues set to break new ground.
The deal is thought to be the first £1bn deal in English football history with its yearly value yet to be bettered by any other club.
City announced the extension of the partnership with a video showcasing some of their highlights in Puma’s kit in recent years.
A fan narrates the promotional clip, saying: “This isn’t just about shirts. It’s about identity. It’s about community, creativity and evolution.
“Now, a new chapter begins. And if it’s Man City, it’s Puma.”
City’s chiefs were quick to hail the new deal, which will see them continue to explore innovative kit ideas with Puma, such as their 2022/23 strip, which was inspired by club legend Colin Bell.
Ferran Soriano, the chief executive of City Football Group, said: “We joined forces with Puma with the ambition to challenge ourselves and go beyond the expectations.
“We have achieved this and more over the last six seasons.
“Today’s renewal and extension solidifies our relationship and projects it to an even brighter future.”
Puma’s Chief Executive Officer Arthur Hoeld added: “PUMA’s partnership with Manchester City has been a great success both on and off the pitch.
“Trophies, a perfect stage for our performance products and commercial success were exceptional.”
City are far and away Puma’s biggest commercial partner, whose other clients include AC Milan, Marseille, Borussia Dortmund, Valencia and the Portugal national team.
Meanwhile other City Football Group clubs are also kitted out by the German company, such as Melbourne City FC, Girona, Lommel, Mumbai City FC, Montevideo, Palermo, Bolivia, Bahia and ESTAC.
The ground-breaking new contract for City will represent a major step forward for the club as they look to compete with their rivals on this front.
According to UEFA’s finance and investment landscape report, in 2023-24 City earned the lowest of the Premier League’s ‘Big Six’ from kit manufacturing and merchandising revenues.
An inside source told the Athletic that this was due to how the club records income, with their previous £65m deal trailing their rivals.
This was because City outsource merchandising to ‘stichd’, a licensee within the Puma Group, causing revenue to be recognised on a net basis, while other clubs do so on a gross basis, before associated costs.
However, the new deal will push City up the rankings, as they look to compete with the £127m United and Liverpool generated each in manufacturing and merchandising revenue, per the report.
Meanwhile Arsenal were said to have earned £104m this way.