Beginning in 2020, Nike will become the the exclusive provider of Major League Baseball’s on-field uniforms (which will feature a Nike Swoosh), including baselayers, game-day outerwear and training apparel. Fanatics will manufacture and distribute all Nike MLB products sold at retail.

Last May,  Sports Business Journal reported that Nike was in talks to become the exclusive provider of Major League Baseball’s on-field uniforms, including baselayers, game-day outerwear and training apparel.

The rights were originally awarded to Under Armour in 2016, but the cost of the deal wasn’t feasible given that Under Armour’s growth has significantly slowed since the MLB deal and the company was seeking to bring its expenses in line with sales. Under Armour will save $50 million by rescinding their initial deal, according to Sports Business Journal.

The Fanatics arrangement was part of the original deal.

Majestic, which has been baseball’s uniform supplier since 2005, is in the final year of its deal before Nike takes over. Majestic was acquired by Fanatics from VF Corp. to serve as an in-house brand last year.

“Nike’s global brand and reputation as a leader in driving innovation makes them an ideal partner,” said Baseball Commissioner Robert D. Manfred, Jr.

Nike will also continue as an official MLB sponsor, supporting league initiatives, grassroots marketing and fan events. Nike, as part of the new agreement, will partner with all 30 MLB Clubs and promote its brand and products across MLB media assets, including MLB Network, MLB.com and MLB Social.

Nike currently has endorsement relationships with more than 500 MLB and Minor League players, including Mike Trout, Giancarlo Stanton, George Springer, Jose Ramirez, Max Scherzer, Jacob deGrom, Javier Baez and Nolan Arenado.

“We’re thrilled to bring more innovation and creativity to Major League Baseball and the incredible athletes who play the game,” said Tom Peddie, VP/GM of Nike North America. “This is an exciting time for baseball, and we look forward to partnering with MLB to grow the sport both across America as well as around the globe.”

Image courtesy Nike