Stephen Curry and Under Armour: A Breakup Story
In a surprising turn of events, Stephen Curry and Under Armour have parted ways, just two years after signing what was touted as a 'lifetime deal'. This split marks a significant shift in the sports apparel landscape and raises questions about the future of the Curry Brand.
Back in 2023, Under Armour envisioned Curry as their answer to Nike's Jordan Brand. The plan was to leverage Curry's global appeal to expand beyond performance basketball into the broader lifestyle market. Under Armour aimed to tap into millions of new customers by offering everything from athletic wear to golf apparel.
However, the partnership didn't pan out as expected. Under Armour's stock performance has been less than stellar, and the company is now undergoing restructuring. As part of the separation agreement, Under Armour will transfer ownership of the Curry Brand's logo, trademarks, and intellectual property to Curry at no cost.
Under Armour's Strategic Shift
This move aligns with Under Armour's recent strategy of shedding expensive partnerships. Over the past decade, the company has been eliminating major sports partnerships, including deals with MLB, the NFL, and various NCAA athletic departments. The separation from the Curry Brand is another step in this direction.
The company is undergoing a substantial restructuring plan, including an additional $95 million allocated to the Curry Brand separation, contract terminations, and employee severance costs.
What's Next for Curry Brand?
With the Curry Brand now operating independently, the basketball star is free to explore new partnerships. The split is a major development in the sports apparel industry, and the future of the Curry Brand remains to be seen. Under Armour can still sell Curry Brand products until October 2026.
The news has caused ripples in the market, with Under Armour's stock remaining relatively flat after hours. It seems the market is waiting to see what Curry's next move will be.