The National Basketball Association’s Oklahoma City Thunder agreed to a 15-year arena naming rights deal with software company Paycom, and the downtown sports complex will be called Paycom Center.
Paycom is a public company based in Oklahoma that sells human resources and payroll software; its customers include the National Football League’s New England Patriots. Paycom is traded on the New York Stock Exchange and has a market cap of $23.6 billion.
Terms of the pact with the Thunder were not disclosed, but the deal doesn’t surpass $100 million. Industrial company Chesapeake Energy previously held the arena name but scuttled the agreement after filing for bankruptcy in June 2020. That deal was worth roughly $34 million and paid the Thunder $3 million per season.
In a statement, Thunder owner Clay Bennett said the team aligns with Paycom’s “onward vision,” adding, “we look forward to presenting our new arena partner, Paycom, to the (National Basketball Association) global audience.”
The agreement starts with the upcoming season, has in-arena signage assets, including the arena’s scoreboard and the basketball court. On Monday, city officials approved a change to the exterior signage on the arena’s roof and will create a lighting plan for additional brand exposure.
The deal is the latest of several sports naming sponsorships.
On Monday, the New Orleans Saints announced a 20-year, $138 million agreement with Caesars Entertainment. As a result, the iconic stadium is now called the Caesars Superdome.
Earlier this month, the Phoenix Suns secured a new arena name with engineering company Footprint, and in June, the Miami Heat agreed to a 19-year, $135 million arena naming-rights deal with crypto company FTX.
NBA arena sponsorships typically cost seven figures annually, and sports partnerships consultancy firm IEG notes that agreements can range up to $30 million a year.
Source: Business - cnbc.com
