As betting operator Stake is preparing for an Australian push, it is also discussing a major sponsorship deal with English Premier League giant Chelsea FC. The crypto wagering company and the West London club are reportedly in the final stages of negotiations over a one-year shirt sponsorship contract.
Chelsea Will Look to Renegotiate Deal Next Year
The English Premier League has instructed clubs to cut ties with betting operators and end all existing agreements by June 2026. So, the Clearlake-owned soccer club had no choice but to go with a short-term deal.
The one-year Stake deal is seen as a smart move on Chelsea’s side, as the Blues won’t be involved in any European competitions because of their atrocious season and their 12th-place finish. The Blues failed to reach their objectives after sacking UEFA Champions League-winning coach Tomas Tuchel and appointing former Brighton boss Graham Potter and club legend Frank Lampard.
Chelsea announced Mauricio Pochettino as their manager earlier this month. Todd Boehly and the Chelsea board will be expecting more from the new coach and players, 16 of whom were bought by Boehly for close to £600 million ($1.11 billion) since taking over from Roman Abramovich last year.
So, the one-year sponsorship deal is said to be the perfect stopgap solution for Chelsea, as it would allow the club to renegotiate a new deal with Stake or someone else next year when the club expects to be in a much better position, both in terms of league standings and market value.
A Slew of Betting Partnerships in the EPL
Chelsea’s current sponsorship deal with telecommunications giant Three, estimated to be worth around £40 million ($74 million) a year, ends this summer. Before talking to Stake, the club from Stamford Bridge was reportedly in negotiations with Allianz.
However, the German financial services company offered half what Three was paying, so the Blues had to look elsewhere and reportedly opted for Stake, who is said to be offering similar money to Three.
If Chelsea decides to go with the Australian betting company, the West London club will become the latest English Premier League organization that has partnered with a betting operator.
Aston Villa recently put pen to paper on a sponsorship deal with gambling company BK8. Similarly, Brentford has a fruitful partnership with betting operator Hollywoodbets, while Stake signed a £10 million ($18 million) deal with Everton last season.
Interestingly, because the shirt sponsorship deal is with a wagering operator, Chelsea will only be allowed to sell adult-sized shirts with the sponsor’s name. Kids’ shirts will show no sponsor.