Texas approves Nike $250 million licensing and apparel deal

Published Oct. 30, 2015 7:48 p.m. ET

AUSTIN, Texas (AP) University of Texas regents approved a 15-year, $250-million licensing and apparel contract with Nike on Friday that includes a signature line of apparel featuring former Longhorns basketball player Kevin Durant.

Texas has partnered with Nike since 2000 and the company had an exclusive negotiating arrangement with the school that was built into the previous contract.

The new agreement includes cash payments, uniforms, footwear, promotional activities and a minimum of $22.5 million for non-athletic university initiatives. It also includes internships for student athletes.

The contract includes royalty payments to Texas for products co-branded with Durant, a former Longhorns All-American who was the national player of the year in the 2006-07 season.

A term sheet released by the school noted that value is still to be determined, but said ''Durant licensed products sold by Nike has reached record levels in recent years compared to other pro athletes in Nike's portfolio.''