Leopards, Betsafe agree to reduce sponsorship amount
AFC Leopards shirt sponsorship deal with Betsafe is set to be reduced by about half to Sh27 million effective the 2021/2022 league season, Nairobi News has established.
Should Leopards refuse to accept this proposal, the betting firm is willing to exercise an option to prematurely terminate the three-year contract between the two parties, which still has two years to run.
A source privy to the deal says representatives from the club and the betting firm have been locked in talks over this proposal to cut the budget for the past week.
As part of this deal, the Betsafe logo appears on the front of Leopards’ jerseys.
“Betsafe are struggling in the Kenyan market. They have less than 5% market share so there are a concern Leopards fans have been placing bets with other betting firms,” explained the source who spoke off the record.
The recent decision by the Kenyan government to excise a 20% excise tax on each bet placed has not helped matters, with most betting firms crying foul.
As per the initial agreement, Leopards are set to receive Sh45 million from Betsafe each season, with about Sh5 million of that sum channeled towards marketing and purchasing the kit.
But this amount has hardly been enough, with Leopards players going for months without pay and the club also struggling on various other fronts, including paying service providers.
Betsafe agreed on a deal to sponsor Leopards in mid-2020, coming a year after another betting firm namely SportPesa pulled out, citing a hostile Kenyan market.
Reports indicate Leopards rivals Gor Mahia have been offered the same condition by Betsafe.