The LA Galaxy star’s company has been shut down after being hit by marketing costs, a Swedish newspaper reported.
The footballer, 36, started the sports brand with Norwegian fashion giant Varner Group in 2016 when he was still at United – the name A-Z references the footballer’s journey from “amateur to Zlatan”.
In a statement, Varner Group said: “Despite solid growth in 2017 the European sportswear effort has proved too expensive.
“Petter Varner and Zlatan Ibrahimovic agree to end their co-operation in A-Z.”
In 2017, the company said it had made “higher than expected” losses due to marketing costs.
It said at the time: “2016 was the first year of the company and we had high commercialisation costs, but of course we expect improved sales and improved results.
“We knew we would not make money in the first year but the losses were higher than expected.”
Varner Group is a leading textile company which sells clothes in stores in Norway, Sweden, Finland, Denmark, Iceland, Poland, Germany and Austria.
The A-Z clothing website is still live, however most menswear and childrenswear is 50% off.