Popular channelsQuick advice on...RSS feeds30 second guides...Company searchUseful linksThis is Money deals
About this siteThis is Money is proud to be approved by the Plain English Campaign
Manchester United shares rallied from 15-month lows as the company announced plans to break into the lucrative US merchandise market.
OTHER STORIES
FTSE LATEST
LATEST ON...
A round-up of the financial crisis
Shares in the runaway Premiership leaders and European Champions' League contenders rose 26 1/4p, or 12%, to 240p after news of a joint marketing deal with the New York Yankees, winners of baseball's World Series in the autumn and the US sport's richest club, to sell each other's licensed goods.
The deal is reckoned to be worth between £15m and £30m, on top of United's annual sales of £116m, and follows the 13-year, £303m sponsorship agreement with Nike, which kicks in next year.
Peter Kenyon, United's chief executive, said: 'North America is a significant marketplace for us and it ties in with our deal with Nike. They are very significant players in the North American market.'
United's shares had nearly halved in the past 12 months. Last March, when they fetched more than £4 each, United was being feted as the world's first £1bn football club. Just last week, however, the club was valued by the market at 207p a share, or £555m, as investors took fright at the £100,000-a-week wage demands from star players David Beckham and Ryan Giggs.
The deal with the Yankees is likely to take in arrangements with other top American sporting clubs.
Do your own research to find thebest savings accounts
OUR TOP VIDEOS
Do you want to save £200 for nothing?
Yes:
No:
Are you paying too much for your internet?
Enter your post code:
Today our readers are talking about...