Nike will no longer sponsor the kit of Manchester United after the next Premier League season due to the mounting costs of the deal.
It marks the end of a 13-year partnership between the world’s biggest sport brand and one of the most popular football clubs in the world.
Nike said in a statement: "Any partnership with a club or federation has to be mutually beneficial and the terms that were on offer for a renewed contract did not represent good value for Nike’s shareholders."
It’s understood that Nike withdrew from a bidding war with rival Adidas, according to Reuters, with the German brand close to finalising a 10-year agreement that could be worth £60m a season to the football team, a record for a club deal.
The current deal between Nike and Man Utd is worth £24m. Both Adidas and United declined to comment.
The American sportswear firm Warrior, the maker of Liverpool's kit, had also been in the running after Nike failed to renew an agreement with the club.
The news comes just a day after Manchester United unveiled it’s 2014/15 season uniform with new sponsor Chevrolet.