NFL American football franchise the Denver Broncos has assumed the contract for naming rights to Mile High Stadium, its home field.
The club will assume the rights from sporting goods retail store chain Sports Authority, which filed for bankruptcy earlier this year. The Broncos will bear responsibility for the remainder of the current contract, which is due to expire on July 31, 2021.
Sports Authority had auctioned the naming rights for the stadium but was unable to find a new sponsor, which led to the Broncos stepping in. The acquisition is subject to court approval.
“This acquisition streamlines the process for securing the best possible long-term partnership for the naming rights to our stadium,” a club statement read. “As in the past, proceeds from stadium naming rights will be split 50-50 between the Broncos (who also provide sponsorship elements) and the MFSD (Metropolitan Football Stadium District, which owns the stadium).
“There is no timetable for securing a new naming rights agreement, and the name of the stadium – Sports Authority Field at Mile High – has not changed at this time. The Broncos look forward to working with the MFSD in establishing a new long-term relationship with a stadium naming rights partner.”
The MFSD added: “Naming rights revenue is primarily used for capital improvements extending the life of the stadium well into the future, attempting to avoid need for public funding. The District and the Denver Broncos are currently conducting a facilities conditions assessment of the stadium and surrounding campus. Preliminary numbers indicate over $300m (€270.8m) will be needed over the next 30 years to maintain the facility.”
In June, the team was granted permission by the US Bankruptcy Court to terminate its sponsorship deal with Sports Authority. The company also serves as the team’s exclusive retail sporting goods sponsor.