Bankrupt FTX applies to end Miami Heat and arena deal

Featured image credit:  Andre Tan on Unsplash

Featured image credit:  Andre Tan on Unsplash

Miami Heat and its home arena could soon end their association with FTX after the disgraced crypto currency company asked a bankruptcy judge to cancel its sponsorship deals.

Lawyers for FTX have filed a motion to cancel a list of more than 20 marketing deals, including its naming-rights agreement with Miami-Dade County for what has been called the FTX Arena since 2021.

The request comes two months after Miami-Dade asked a New York judge to void the deal, citing “hardship” from being associated with FTX after it became the subject of a high-profile fraud investigation amid claims its owners cheated investors and looted billions of dollars.

Miami Heat also issued a statement at the time saying the team also wanted out of its separate FTX sponsorship agreement.

Creditors have until January 13 to object to cancelling the marketing deals, and a hearing on the request is scheduled for February 8.

FTX acquired naming rights to the arena in April 2021 in a deal worth a reported $135m (£115m/€131m) over 19 years.

Other deals FTX wants scrapped involve marketing or sponsorship arrangements with Gisele Bündchen, the Golden State Warriors, the Meltwater Champions Chess Tour, and Major League Baseball.

Posted in FinanceTagged | | |