New rules and huge piles of debt send Brazilian football into the arms of foreign investors
Alamy | Palmeiras' Gustavo Scarpa celebrates winning the Copa Libertadores with fans
Brazil has the biggest talent pool in the football world, which is one of the key reasons for the huge interest in the country's clubs from foreign investors.
Brazilian clubs have suffered heavily during the pandemic, which has forced the government to ease regulations to enable them to keep up with their European peers. First 2021 reports reveal a positive trend.
Why it matters: Interest in investing in Brazilian football clubs has surged after the lifting of corporate regulations and the potential creation of a new breakaway league.
The perspective: Several multi-club owners are targeting Brazilian clubs as the next investment for their football club portfolios to supply talent to other clubs.
5 April 2022 - 4:52 PM
Brazilian football clubs have never been hotter than in the last six months.
Since new rules in August 2021 allowed clubs to establish corporate entities, foreign investors have been falling over each other to invest.
American John Textor bought 90 per cent of the newly-promoted Botafogo and 777 Partners acquired a 70 per cent stake in Vasco da Gama for €124 million - valuing the Brazilian club at €302 million and making it the biggest transaction in the history of Brazili
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