PepsiCo is taking over league sponsorship rights of the National Basketball Association from rival Coca-Cola, the company confirmed Monday.
After a partnering spanning nearly three decades, Coke confirmed it decided not to renew its global contract.
"We remain fans of the NBA and have shared remarkable experiences during our 28-year partnership, however we have made the decision not to renew our global contract at the end of the 2014/2015 season. The Coca-Cola Company has committed an incremental $1 billion toward its brands over the next three years, and with this commitment comes the need to focus on the most effective and efficient investments to maximize brand growth. The company will continue to have a strong presence within basketball culture through our relationships with iconic players. We will also continue to be visible through ongoing relationships with individual teams and venues," according to a statement from a Coke spokeswoman.
Beverage-Digest first reported the news would be released Monday. Pepsi already holds the sports drink rights with the NBA through its Gatorade brand.
Following the move, Pepsi will hold league sponsorship rights with the National Football League, Major League Baseball, National Hockey League and now the NBA. Meanwhile, Coke has a tie-in with NASCAR, a separate distinction from league sponsorship rights.
