GenericYesMan
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Auburn's $10 million Under Armour stock deal keeps losing value | AL.com
Auburn just lost $7.5M on their deal. Yikes.
Auburn's 10-year apparel deal with Under Armour that included $10 million in UA shares has lost more than 75 percent of its value in only two years.
At the time of the deal announced in Oct. 2015, Under Armour shares were trading for more than $100 a share. After another disastrous earnings report released on Oct. 31, Under Armour shares took another big tumble. Even factoring in Under Armour's stock split in April 2016, that's a significant loss of value for Auburn. The value of Auburn's UA stock is down to a little less than $2.3 million, according to AL.com estimates, after the initial $10 million in shares it received in 2015.
Under Armour missed its third-quarter sales estimate and CEO Kevin Plank told investors he expected a continued difficult sales environment in North America well into 2018.
Auburn just lost $7.5M on their deal. Yikes.