Manchester City Set For Record-Breaking £1.75bn Sponsorship Deals After PL Settlement

Last Updated:September 10, 2025, 13:31 IST

City had legally challenged Premier League authorities’ decision to block two of their major sponsorship deals, citing APT regulations brought in 2021.

Manchester City in the Premier League (X)

Manchester City is in for a major sponsorship windfall after announcing a settlement with the English Premier League over the imposition of Associated Party Transaction (APT) rules. In an unprecedented move, the popular club had challenged the legitimacy of the regulations introduced by Premier League authorities in 2021, following the takeover of Newcastle United by Saudi Arabian forces.

The Premier League’s primary intention in implementing the APT regulations was to prevent clubs from inflating commercial deals with companies associated with their owners, thereby maintaining the playing equality and competitiveness of the league. These regulations played a roadblock against two of the City’s lucrative sponsorship deals in the past and forced the officials to take legal action, feeling “discriminated” by PL authorities.

The club submitted a 165-page legal document at the behest of its owners, the Abu Dhabi United Group and Sheikh Mansour, to a three-member tribunal. After two weeks of deliberations, the tribunal concluded that the regulations were “void and unenforceable,” while also lambasting the Premier League’s rejection of the two sponsorship deals.

Now, Manchester City and PL officials have reached a settlement that terminates all the ongoing legal proceedings. In a joint statement, the two parties said: “The Premier League and Manchester City FC have reached a settlement in relation to the arbitration commenced by the club earlier this year concerning the Premier League’s Associated Party Transaction (APT) Rules and as a result the parties have agreed to terminate the proceedings.”

“This settlement brings an end to the dispute between the parties regarding the APT Rules. As part of the settlement, Manchester City accepts that the current APT Rules are valid and binding.”

The development is set to fill the City’s financial coffers. According to Mike Keegan of the Daily Mail, a hefty deal with Etihad Airways, which was knocked out in 2023 due to APT hurdles, is set to be renewed. The deal will swell the club’s funds massively. Football finance expert Stefan Borson claimed that the deal could bring in a sum as big as £1.75 billion, surpassing all sponsorship records in Britain.

“The likelihood is, and I’ve been informed, that when it does eventually get approved, whether it’s at the level Etihad proposed or at an adjusted level, will be the largest British sporting sponsorship deal of all-time – and will be well in excess of a £1 billion over 10 years partly because of the way that escalator works,” Borson told talkSport.

“I would expect the total value over it the 10-year period to be something like £1.5 billion to £1.75 billion.”

Manchester City have also just signed a fresh £1 billion kit deal with Puma, stretching over 10 years, in a major upgrade on the previous £65m per year arrangement between the two parties.

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