Telefónica evaluates restructuring options for €25M Movistar Team sponsorship

Telefónica is exploring options to reduce its long-term financial commitment to Movistar Team, including the possibility of selling its sponsorship contract or bringing on additional co-sponsors to share the operating costs, according to Bloomberg. 

The Spanish telecommunications company currently holds the naming rights to the Spanish WorldTour squad, but is understood to be reviewing its marketing expenditure as part of a broader corporate strategy reassessment. The existing sponsorship agreement, which runs through 2029, is valued at approximately €25 million per year.

Telefónica first became title sponsor of the Movistar Team in 2011, with the team spearheaded by Alejandro Valverde. 

However, the business value behind the partnership has changed as Telefónica scaled back its operations in Latin America, a market that previously drove the sponsorship's international exposure. 

Movistar is operated by Abarca Sports, led by Eusebio Unzué and Francisco Fernández Maestre. The team was founded in 1980 with previous title sponsors including Reynolds, Banesto, Illes Balears, and Caisse d'Épargne.

In recent years, the organisation has also attracted outside investment, including a minority stake acquisition by Quantum Pacific Management in 2024, with affiliated interests also contributing sponsorship support.

While Telefónica is reportedly reviewing its sponsorship strategy, no official changes have been confirmed, and the company declined to comment to Bloomberg.