GoPro said on Tuesday that it is entering a multiyear global deal with Red Bull as the energy drink company's exclusive point-of-view camera and content partner.
Shares of GoPro spiked 8 percent after the announcement. The stock ended the day up nearly 5 percent.
Speaking from JPMorgan's Technology, Media and Telecom Conference in Boston, Nick Woodman, founder and CEO of GoPro, told CNBC's "Squawk on the Street" that the announcement was the logical next step in the relationship between the two companies.
"We've been working with Red Bull for years and we've helped co-promote each other and help each other globally rise above the noise and scale awareness for our respective brands, but we decided that it was time to get official about it," Woodman said.