Dutch technology company Philips has said it will end its long-running shirt sponsorship of newly crowned Dutch Eredivisie champion PSV Eindhoven at the conclusion of the 2015-16 football season.
Philips has served as PSV’s shirt sponsor for the past 34 years and is set to retain its ties with the club via a downgraded sponsorship at the end of next season.
Negotiations are ongoing with regards to the form that the new sponsorship agreement will take.
According to reports by Voetbal International, PSV’s partnership with Philips is currently worth between €5m ($5.38m) and €7m per season and the company’s move comes as it looks to realign its business to focus on medical equipment ahead of consumer electronics.
PSV general manager Toon Gerbrands said: “We understand the impact of this moment. But the ties remain strong and the ultimate goal is for PSV to secure a new sponsorship deal that could increase the commercial revenues of the club.”
De Telegraaf newspaper said that Philips has an agreement in place with PSV to ensure that it is not replaced by a consumer electronics rival such as Samsung or Sony.
PSV was founded by Philips employees in 1913.