FC Barcelona are reported to be in talks over a new loan that could be worth up to €100 million as they once again new seek new options to balance their books.

According to Spanish media, the loan is expected to provide the necessary funds to cover the Catalan club’s annual deficit and looming debt obligations and comes ahead of the 30th June deadline to comply with LaLiga’s spending rules.

The amount to be borrowed is said to be contingent on the extension of the club’s kit sponsorship deal with Nike, which reports have suggested could be worth well over the €100 million per year currently being paid.

Collapse of Barça Visión IPO

The move comes as Barcelona grapple with a significant shortfall in anticipated funds following the collapse of the planned IPO of their digital unit Barça Visión.

The club had anticipated earning more than €400 million by selling 51 per cent of the digital hub, but difficulties emerged after the German investment fund Libero failed to pay the club €40 million for the purchase of a stake in the business.

 

Ronaldo rejects €28.7 million bid for 66 per cent of Real Valladolid

Ronaldo has rejected an offer of €28.7 million for a 66 per cent stake in Real Valladolidfrom the construction company Inexo, Spanish media have reported.

Earlier this month the former Brazil striker indicated that he plans to sell his 82 per cent shareholding in the second-tier Spanish side after confirming the sale of Brazilian club Cruzeiro.

Ronaldo is said to have rejected the offer from Valladolid-basedInexo as it is “below the market value" of the club, who are currently in second place in LaLiga 2 and targeting promotion to the top-flight with two games of the season left to play.

Value of club €70-80 million if promoted

The value of Real Valladolid is estimated to be between €40 million and €50 million if they remain in the second-tier, and between €70 million and €80 million if they are promoted.

It is understood that if Ronaldo had accepted the offer from Inexo, he would initially have kept 16.7 per cent of the club's shares, which the construction firm would have been willing to buy for a further €10 million if the club was in the top-flight and €5 million if it was in the second division.
 

Morecambe directors urge owner to sell club and avoid "catastrophic outcome"

Morecambe's board of directors have written an open letter to owner Jason Whittingham calling for him to sell the EFL League Two club and avoid what they describe as a "catastrophic outcome".

The Lancashire club currently have no manager or CEO and have just five first-team players on the books after announcing the departures of 16 players earlier this week. Of those leaving, 12 were not offered new terms, while four rejected new deals.

Morecambe, who were deducted three points for failing to pay their players on time last August, are currently under the control of Bond Group Investments, but have been up for sale since September 2022.

Middle East-based buyer

In their letter, the directors said there is "no tangible evidence" of interest from a potential Middle East-based buyer for a possible bid to be considered credible.

The board have instead urged the owners to accept an offer from a US-based potential buyer. "Based on what we know, that is the most credible [offer] which has been made since you placed the club up for sale over 20 months ago," they said.

Morecambe's directors also described as "meaningless" any assurances from Bond Group to provide future funds to keep the club running.
 

The ownership of Inter Milan looks set to pass to Oaktree Capital after attempts by current owner Suning to refinance its €375 million debt to the American firm reportedly fell through.

It emerged last week that talks over a €435 million loan deal with the US fund Pimco were in danger of breaking down ahead of yesterday’s deadline for Suning to repay their original loan – secured on the Chinese company’s holding in Inter – back to Oaktree.

Inter president Steven Zhang broke his recent silence over the issue on Saturday in a statement on the club’s website. He did not mention the talks with Pimco directly, but appeared to suggest there may now be a legal battle between Suning and Oaktree.

“Lack of meaningful engagement”

Zhang said Suning had made “every attempt with our partner to find an amicable resolution, including multiple paths for Oaktree to achieve full and immediate financial return.”

He added: “Unfortunately, our efforts to date have been exasperated by legal threats, and a lack of meaningful engagement from Oaktree. Not only has this been deeply frustrating and disappointing, but such behaviour now poses potential risks to the club that could seriously jeopardise its stability.”

FIFA to hold urgent meeting over whether to ban Israel from international football

FIFA is to hold an urgent meeting to decide if Israel should be thrown out of world football over its response to the 7th October Hamas terrorist attacks.

The global governing body’s president Gianni Infantino announced the move at the FIFA Congress in Bangkok on Friday and said it would carry out a “legal assessment” of the matter.

It follows a proposal submitted by the Palestine Football Association (PFA), which was backed by the FAs of Algeria, Iraq, Jordan, Syria and Yemen. The proposal was not put to a vote of FIFA member associations on Friday.

Israel and Palestine FAs to have input

Infantino said the issue would be decided upon at an emergency meeting of the organisation’s council in late July and confirmed that the FAs of both Israel and Palestine would have input into the process.

“Football should not and should never become a hostage for politics and always remain a vector for peace, a source of hope, a force of good, uniting people rather than dividing,” the FIFA president said.

Infantino hits back at criticism of FIFA over congested calendar

FIFA president Gianni Infantino has hit back at claims the global governing body is to blame for saturating the calendar with new events.

Earlier this month, global players’ union FIFPro and the World Leagues organisation threatened FIFA with legal action if its new 32-team Club World Cup goes ahead as planned next summer.

Speaking at the FIFA Congress in Bangkok on Friday, Infantino told delegates he wanted to respond to “critics” who have accused FIFA of “organising too many games”.

Tiny percentage

Infantino pointed out that even after the new Club World Cup starts, FIFA will still only organise a tiny percentage of games played across men’s and women’s football.

“But with these one to two per cent of matches, FIFA finances football all over the world,” he said.
“Our revenues aren’t just going to a few rich clubs but they go all over the world. … So, I hope these figures show that we should stop this futile debate that’s really pointless.”

777 Partners has suffered a fresh blow to its slim prospects of securing a takeover of Everton after it emerged the US investment firm faces losing permanent control of Brazilian top-flight club Vasco da Gama.

As reported by Brazilian outlet Globo, key 777 figures, including co-founders Josh Wander and Steven Pasko, have been removed from the Vasco board following a court ruling in Rio de Janeiro.

A judge suspended the effects of the contract through which 777 acquired control of the side back in 2022. The judge also called for an independent examination of “accounting operations” called into question by the non-777 officials on the board.

Transfer ban

Vasco were hit by a transfer ban last October after failing to meet payments on transfers. However, according to Globo, 777 is currently up to date with its payments to the club.
777 acquired a controlling stake in Vasco for BRL$700 million (US$136 million) in February 2022. The side were promoted back to the Braziliantop-tier that season after a two-year absence.

Inter Milan €435 million loan deal with US fund at risk ahead of Oaktree deadline

Talks between Inter Milan owner Suning and the US fund Pimco over a €435 million loan deal are at risk of breaking down with four days to go before a key deadline, according to a report from Bloomberg.

Suning is seeking new funding to refinance Inter’s €375 million debt to Oaktree Capital before it is due next Monday, but the club’s Chinese owners are said to be struggling to reach an agreement with Pimco.

It is understood a €435 million offer of private bonds maturing in 2026 with a 15 per cent payment-in-kind coupon has been in advanced discussion.

Transfer of share pledges

A source told Bloomberg that negotiations between Pimco and Suning have stumbled over certain issues, including the transfer of share pledges. However, the source added that the situation remains fluid and there’s still a possibility that the parties could strike a deal.

The Oaktree loan, agreed back in May 2021, originally had an interest rate of around 12 per cent but it is thought it offered Suning terms only of 12-24 months for a new loan, with the interest rate much higher than 12 per cent. The original debt is secured on Suning’s holding in Inter.

777 Partners loses control of Standard Liège as assets seized in Belgium

777 Partners’ control of Standard Liège and its other assets in Belgium have been placed in the hands of the courts in the country in the latest setback to the US group’s football investments.

According to the Belgian RTBF Actus news website, the seizure of the assets took place after a court order in Liège yesterday, and followed a complaint made by Standard chairman and former owner Bruno Vernanzi and shareholders of the club’s stadium.

They alleged that they have not received the second instalment of their payment for 777’s acquisition of the club in 2022. Last month, it was also reported that Standard’s players had been told there is no money to pay their April wages until the end of the season.

“Answer our questions and requests”

Speaking to RTBF Actus, Vernanzi said: “Following the seizure of the assets of 777, including the shares of real estate and the club as well as accounts in Belgium, we hope that this approach will encourage 777 and/or its crisis manager to answer our questions and requests, which have so far been ignored.

“Without a response from them, we will take new actions to protect our interests and those of Standard Liège. Our priority is to ensure the continuity and stability of the club in the short, medium, and long term. We are available to the club's management to help them find a lasting solution for Standard Liège."

PMG-owned KV Oostende to file for bankruptcy after collapse of takeover deal, administrator confirms

KV Oostende, the Belgian club owned by Pacific Media Group (PMG), are to file for bankruptcy after a proposed takeover deal fell through, the administrator appointed by the club has confirmed.

In a statement on the KVO website yesterday, administrator Werner Van Oosterwyck – who had warned on Wednesday that a rescue was next to impossible without “a miracle solution” – said he now had “no choice but to file for the bankruptcy of KV Oostende on 3 June.”

He added that in the absence of new owners KVO will not be able to submit a fully-fledged license file, due today, to the Belgian Centre for Arbitration in the Sports Sector (C-Sar).

Heavily critical of Paul Conway

In his statement, Oosterwyck was heavily critical of Paul Conway, who owns PMG, pointing out that the proposed takeover of KVO by Apex Capital Global fell through as the American investor in effect refused to give up his 50.1 per cent shareholding in the club.

“The question is whether this man should not be banned from the international football world,” Oosterwyck said. “He plays with clubs as if they are nothing and every emotion is foreign to him.”

Everton have confirmed that owner Farhad Moshiri is speaking to other bidders over the sale of the club in the event of the proposed takeover by 777 Partners falling through.

The US investment firm has been given until the end of the month to try to conclude its purchase of the club or the agreement expires.

In a letter to Everton’s Fan Advisory Board, the club’s interim CEO Colin Chong wrote: “The club has confirmed that plans are also in place to progress alternative scenarios should the acquisition by 777 Partners not complete.”

777 makes £8 million loan payment

The move follows a further loan payment of almost £8 million this week from 777, which was made after Moshiri made clear he was considering terminating the purchase agreement with the crisis-hit company.

The likelihood of the takeover progressing remains in significant doubt as it is unclear how Miami-based 777 will find the funds to satisfy conditions laid down by the Premier League as part of its owners’ and directors’ test.

 

PMG-owned KV Oostende facing bankruptcy after collapse of takeover deal, administrator warns

KV Oostende, the Belgian club owned by Pacific Media Group (PMG), are facing imminent bankruptcy after a proposed takeover deal fell through, the administrator appointed by the club has said.

In a Q&A on the KVO website, administrator Werner Van Oosterwyck said a rescue is now next to impossible “unless a miracle solution presents itself in the next 24 hours."

KVO have to present their license file next Friday. However, Oosterwyck said “there is no possibility to obtain the license” following the collapse of the proposed takeover by Apex Capital Global.

50.1 per cent shareholding

The administrator added that the deal had been terminated because current majority shareholder Paul Conway, who owns PMG, would not give up his 50.1 per cent shareholding in the club.

Last week, PMG lost control of Danish third-tier side Esbjerg FB following a local steering committee's reconstruction plan, which was approved in court by creditors.

 

Monza takeover suspended due to disagreement over deal structure

Negotiations over the takeover of Monza by the Italy-based holding company Orienta Capital Partners have been suspended due to significant differences on the structure of the agreement, Italian media have reported.

The proposed deal was described as the “end of the Berlusconi era” as it was set to mark a transition from Finnivest – a holding company set up by the ex-AC Milan owner and former Italian prime minister Silvio Berlusconi.

However, it is understood discussions broke down last week in the final phase. The latest proposal was for Orienta to acquire 70 per cent of the club – reportedly for €70 million – leaving the remaining 30 per cent to Fininvest.

Open to future talks

Sources close to the negotiations said the decision to halt the talks came after months of "transparent and constructive dialogue" and that the parties remain open to future potential discussions on a takeover deal.

Finnivest is also said to remain interested in investment in the club from other parties, but that further exploration of that possibility could only take place at the end of next season.

 

UEFA tells CFG to sell part of stake in Girona to allow Champions League participation

UEFA has told Manchester City and Girona they will not both be able to compete in next season’s Champions League unless City Football Group (CFG) reduces its shareholding in one of the teams.

CFG owns 100 per cent of City and 47 per cent of Girona. For both clubs to compete CFG will have to reduce its shareholding in one of them to less than 30 per cent – making the LaLiga side the obvious choice.

Another option – contained in a UEFA document sent to clubs, and seen by The Times – would be for Girona to compete in the Europa League instead. Even if both clubs were second in their domestic leagues, City would finish ahead of Girona courtesy of England’s UEFA coefficient.

A third option would be for CFG to transfer all shares in one club to a blind trust overseen by a panel appointed by UEFA. That model was used this season in a deal for AC Milan, Toulouse and their American owner RedBird Capital.

Transfer dealings

UEFA’s rules on multi-club ownership (MCO) for European competitions next season have been sent to clubs this week. Its club finance control panel is understood to have scrutinised the CFG links because of the clubs’ transfer dealings this season.

 

FIFA sets up new working group to look at league matches being played overseas

FIFA has taken a step towards allowing domestic leagues to play competitive matches abroad after announcing a new working group would be formed to “issue recommendations” on the topic.

As reported by The Guardian, the group was confirmed after a meeting of the FIFA Council in Bangkok yesterday. It will be made up of 10 to 15 individuals with experience from across the game, including clubs, leagues and supporter associations.

FIFA said the group will be independent but that its work must take into account a series of principles, several of which assume a positive decision to stage matches internationally.

“Advance notice to fans”

The first principle, for example, says the group must consider fairness, “including adequacy of advance notice to fans who may miss the opportunity to attend a home or away match in the home territory”.

Changes to the rules became possible after FIFA settled a legal dispute with the American promoters Relevent Sports last month.

The proposed takeover of Everton by 777 Partners has been given an unexpected lifeline after the club’s owner Farhad Moshiri agreed to extend his sale and purchase agreement with the crisis-engulfed US investment firm.

As reported by The Daily Telegraph, while the deal remains a major doubt, 777, which is still supporting the club with operational funding, has been granted extra time to somehow address the turmoil it faces elsewhere.

Terms on an initial deal agreed by Moshiri last September were due to expire last week but it is understood an extension has been granted until the end of the month after days of face-to-face talks.

Moshiri has in effect given 777 a last chance to prove it can rescue the deal as the Miami-based group wrestles with accusations of fraud and the unravelling of the reinsurance financing that underpinned many of its acquisitions.

Club to address fans

Meanwhile, Everton are expected to address fans over the situation facing the club this week as various financing options are weighed up. Executives have maintained privately for weeks that the club will avoid administration despite the financial uncertainty surrounding it.

Masters admits Everton takeover may have been rejected sooner if regulator was in place

Premier League CEO Richard Masters has admitted that takeovers that drag on like that of Everton by 777 Partners “are not good” and may be dealt with more quickly by an independent regulator.

During an appearance before the UK parliament’s Football Governance Bill committee yesterday, the Premier League chief indicated that 777 had still not met conditions imposed on the deal by the league, which include it immediately settling some of the club’s debts that run into hundreds of millions of pounds.

Asked why the Premier League had not simply rejected the takeover and whether an independent regulator would have done so, Masters admitted there were “benefits” to a “regulatory ownership test” that included “access to more information”.

Pressed on whether a regulator would have blocked the takeover sooner, he replied: “It may be that they come to conclusions quicker. I’d imagine that’s possibly correct … in that circumstance.”

He added: “I can imagine what the situation would be like if we had a regulator in its current example that you’re raising. … I can’t say too much about it but I do think there are some benefits to the regulator working in tandem with the league on this particular topic. That is true.”

“Strong investigatory powers”

Commenting further on the Everton takeover, Masters said: “We’re not a statutory body. So, we can only get the information we’re provided with, and we have strong investigatory powers. I do accept that takeovers that carry on for a very long time are not good, for fan certainty. And that’s why we have a very big team of people who do nothing else than this.”
 

Everton offered £150 million loan by private equity firm

Everton have been offered a loan of as much as £150 million by GDA Luma Capital, a private equity firm specialising in distressed debt, according to a report from Bloomberg.

A source told the newswire that the offer would help complete construction of the Merseyside club’s new 53,000-capacity stadium on Bramley-Moore Dock and is subject to due diligence.

The person added that GDA Luma has no interest in controlling Everton and that the offer had been made directly to the club and its owner Farhad Moshiri.

The British-Iranian businessman, who first invested in Everton back in 2016, is vying to keep the club afloat amid major doubts over the proposed takeover by 777 Partners.

Long list of creditors

Everton have a long list of creditors, including MSP Sports Capital, which is reported to be considering a takeover bid. Other creditors include Rights and Media Funding Limited and 777, which has lent the club more than £200 million since its takeover deal was agreed with Moshiri last September.
 

Nottingham Forest owner Evangelos Marinakis wants move away from City Ground

Evangelos Marinakis, the Nottingham Forest owner, has said he wants the club to move away from the City Ground as speculation intensifies about whether they will remain at their current home.

In an interview with The Daily Mail, the Greek owner of the East Midlands side said he believes changing stadiums could elevate the club to further success in the future.

“It will change the history in years to come of the region and the team for our supporters,” he said. “It will be hard to leave the City Ground but in an age when revenue streams dictate success on the pitch, there’s no doubt moving to a bigger facility will set the club on the right path.

“Over the last 10 years, the city of Nottingham has lacked the confidence and ambition of the other big regional cities of Manchester and Birmingham. Nottingham needed a new leader to be brave, ambitious, to invest and be honest.”

New 50,000-seat stadium

Forest are considering relocating to a new 50,000-seat stadium six miles out of the city centre, but have been offered the chance to buy the land where the City Ground sits for around £10 million.

The club is being urged to abandon any idea of “moving halfway to Derby” and prioritise securing a long-term future at its 125-year-old home, either by signing a new lease or buying the freehold. Talks over the lease have broken down over recent months.

The multimillionaire Everton fans Andy Bell and George Downing have emerged as potential part-owners of the club as doubts continue to intensify over the proposed takeover deal with 777 Partners.

It is understood the two businessmen, who already have money invested in the Merseyside club, will be targeted as potential buyers along with MSP Sports Capital if Farhad Moshiri terminates his deal with 777 to sell his 94.1 per cent stake in the club.

It was reported last week that MSP is looking at buying the club following previous talks over investment. Dealmakers now believe Bell and Downing would be seriously interested in at least part-ownership and that they could be approached to form a consortium with MSP.

A major stumbling block to 777’s long-standing pursuit of Everton remains the repayment of a £158 million loan to a group of investors led by MSP, in partnership with Bell and Downing. The loan was due to be paid on 15th April, but 777 gained a last-minute extension to the end of the season.

777 calls in bankruptcy specialists

Fresh doubts over the 777 takeover – which is yet to be approved by the Premier League – emerged late last week after it was reported that the US investment firm is now fighting for its own future having called in bankruptcy and crisis management specialists.

According to a 777 memo seen by the investigative football site Josimar, the Miami-based group has appointed a team from B. Riley Advisory Services “to take on governance roles within our organisation”. It is understood that both Josh Wander and Steve Pasko have already been removed from the board of 777’s football division.

Real Betis launch €42.9 million capital increase to strengthen balance sheet

Real Betis have launched the capital increase of €42.9 million approved by the club’s shareholders last summer.

A total of 117,500 new shares will be issued at a price of €365.44 each, between nominal and share premium, and the operation will be carried out in three phases.

The first, which began last Friday and will run until 9th June, will be aimed at the club's more than 13,000 shareholders, who will be able to exercise their pre-emptive subscription rights.

Pandemic losses of €81.2 million

In a statement, Betis said the two principal aims of the capital increase are to balance the club’s equity, following cumulative losses of €81.2 million in three years during the pandemic, and to "face the new challenges" of the 2022-2026 strategic plan “with guarantees”.

A key part of that plan is the €70 million revamp of the Benito Villamarín Stadium, which the club anticipates will generate an additional €25 million in revenue each season from extra activities on both match and non-match days.

Betis returned to profitability in the 2022/23 financial year after recording a turnover of €165 million and the club expects that figure will be close to €200 million for 2023/24.

Leaked documents: Abramovich loans fund Vitesse Arnhem owner Valery Oyf

Vitesse Arnhem owner Valery Oyf has funded the club with loans of almost $200 million from Roman Abramovich, new leaked documents seen by The Guardian and the Bureau of Investigative Journalism (TBIJ) suggest.

The paperwork raises questions about whether the former Chelsea owner is still involved with a European club despite being subject to sanctions from the EU and UK following Russia’s attack on Ukraine.

The documents suggest Abramovich was the source of almost all of the money – almost $200 million – used by Oyf to fund an offshore company called Matteson Overseas Ltd.

Oyf, who has so far been unsuccessful in his attempts to sell Vitesse, has owned the club directly following a takeover back in 2018 but Matteson Overseas Ltd was used to provide them with funding and financial guarantees.

Oyf, a long-time business associate of Abramovich and previously a senior figure at the Russian’s oil company, Sibneft, has previously denied claims that the oligarch still had ties to Vitesse. However, according to the leaked documents, Matteson was almost entirely bankrolled by Abramovich.

Eighteen-point deduction

Last month, the Dutch FA (KNVB) deducted Vitesse 18 points for breaching its licensing regulations, confirming their relegation from the Eredivisie. The KNVB said there were “indications” that Abramovich had controlled, or still controlled, the club and that there are risks of violation of ¬sanctions and money laundering.

The proposed takeover of Everton by 777 Partners was plunged into further doubt yesterday, with reports indicating that current owner Farhad Moshiri is considering terminating the agreement struck last September for the US investment firm to purchase his 94.1 per cent stake in the club.

Speculation also emerged that another American investment firm, MSP Sports Capital –which has lent money to fund Everton’s new stadium – is looking at buying the club following previous talks over investment.

The Times reported that Moshiri may cancel the agreement with 777 amid persistent doubts over its financial capabilities. It is understood he has held two days of face-to-face talks in London with representatives of the Miami-based group over the proposed deal.

The Premier League is still yet to approve the takeover, with a number of conditions laid down as part of its owners’ and directors’ test yet to be satisfied.

In the meantime, more doubts over 777’s ability to fund the club in the long-term have emerged and it is believed they are such that Moshiri could now break off the agreement.

£158 million loan

Meanwhile, according to Bloomberg, MSP Sports Capital is now exploring a takeover of Everton as the current 777 bid falters. 777’s long-standing pursuit of Everton has hinged on repaying a £158 million loan to a group of investors led by MSP.

The loan was due to be paid on 15th April, but 777 gained a last-minute extension to the end of the season. New York-based MSP considered investing in Everton last year, but talks collapsed without a deal.

EFL Championship clubs’ permitted losses set to rise to £41.5 million over three years

The amount EFL Championship clubs are permitted to lose over a three-year period is to increase from £39 million to £41.5 million next season, according to a report from The Daily Mail.

It is understood the change to the league’s profit and sustainability rules (P&S) was voted through on Wednesday and will be introduced for a single year.

League insiders claim the £2.5 million increase follows vastly increased operational costs and staff wages driven by a surge in the cost of living. It also replaces a Covid ‘add back’, which had allowed for additional costs related to the pandemic and drops off the reporting period next year.

Premier League clubs surprised by move

Sources at Premier League clubs are said to have expressed surprise at the move given it comes at a time when the EFL continues to seek a further payout from the top-flight amid the ongoing dispute over redistribution.

It also comes after the EFL recently completed the biggest broadcast deal in its history, worth £935 million over five years, along with a £148 million international rights agreement.

However, EFL insiders are said to be adamant the move is not aimed at allowing clubs to spend more on spiralling player wages. Instead, they say it is linked to increases in charges on items such as electricity, catering and staff salaries and is aimed, in many cases, at stopping clubs passing on costs to supporters.

Chelsea chairman Todd Boehly backs Premier League hard spending cap proposal

Todd Boehly, the chairman of Chelsea, has said he is supportive of new Premier League proposals to add a hard spending cap to the new squad cost rules being introduced for the 2025/26 season.

A majority of Premier League clubs agreed in principle to introduce the cap at a shareholders’ meeting last week. Chelsea abstained from the vote, but Boehly indicated his support while speaking on stage at a Sportico conference in Los Angeles on Wednesday.

“We’re supportive of anything that adds to the competitive nature of the sport,” he said. “The reason the Premier League is doing so well is because it is so competitive and everyone wants to watch it and no one knows how the games are gonna happen.

“If you look around at what’s going on right now in different European leagues, some of them are having a hard time selling their media [rights]. I think the competitiveness that you’re going to continue to see and evolve as the sport evolves is just going be good for the Premier League.”

Formal vote next month

The de facto salary cap would ‘anchor’ the maximum permitted spending of any club to a multiple of what the lowest-earning side receives via the Premier League’s centralised broadcast and commercial deals. It will be formally voted on at the Premier League’s annual general meeting next month.

FIFPro and World Leagues threaten FIFA with legal action over Club World Cup

FIFA is facing an unprecedented backlash against its new 32-team Club World Cup, with global players’ union FIFPro and the World Leagues organisation threatening legal action if it goes ahead as planned.

The two organisations have called for the FIFA Council, at its meeting in Bangkok next week, to reschedule the competition and to reopen discussions on the international match calendar.

In a joint letter sent to FIFA president Gianni Infantino last week, which has been seen by The Times, they say that FIFA’s new match calendar is “beyond saturation”, causing “economic harm” for domestic leagues and posing a “significant injury risk” to players.

It adds: “Should FIFA refuse to formally commit to resolving the issues . . . at its upcoming council, we shall be compelled to advise our members on the options available to them, both individually and collectively, to proactively safeguard their interests.

“These options include legal action against FIFA, on which we have now commissioned external expert advice.”

Four knockout games

The new Club World Cup is scheduled to run from 15th June to 13th July next year, starting only two weeks after the Champions League final. Teams will play three group matches and up to four knockout games.

However, the old Club World Cup, rebranded as the Intercontinental Cup, will still continue and be played in December. FIFPro and the World Leagues want that tournament, which included seven teams last year, to be scrapped.

The Everton Shareholders' Association has launched a scathing critique of the club's majority owner Farhad Moshiri and the Premier League, urging Moshiri to terminate the ongoing takeover negotiations with 777 Partners.

The US investment firm is currently embroiled in legal disputes, which has led to the association branding the takeover process a "farce" and accusing both Moshiri and the Premier League of disrespecting the club.

According to the Telegraph, the association, which represents minority shareholders and acts as a watchdog for the club, has broken its silence on a deal that was initially agreed upon last September. They have expressed their dismay at the prolonged owners and directors checks by the Premier League, which have been ongoing for eight months without conclusion.

Not altered his stance

"In the absence of the Premier League making a timely decision we insist that the Everton board, and Farhad Moshiri in particular, stop this damaging process now and recognize that 777 Partners are not at this time fit-and-proper prospective owners of Everton," stated the association.

Despite these concerns, sources close to Everton indicate that Moshiri has not altered his stance on the proposed takeover. However, internal frustration is growing due to unresolved issues and recent legal challenges faced by 777 Partners.

These include asset seizure demands from former owners at Standard de Liège, a Belgian club owned by 777, and multiple lawsuits in New York.

Nottingham Forest's appeal against penalty rejected

Nottingham Forest's appeal against a four-point deduction for breaching the Premier League's profitability and sustainability rules (PSR), has been rejected.

The club were initially penalised in March by an independent commission after admitting to exceeding spending limits by £34.5 million over three years.

According to the guidelines, Forest could have faced a six-point deduction but received a lighter sanction due to their "early plea" and "excellent co-operation" with the Premier League. Despite their defense presented at a hearing on April 24, the commission upheld the original penalty.

Relegation battle

The decision leaves Forest in 17th place in the Premier League standings, just three points above the relegation zone with two games left in the season. The club had expressed significant dismay at the Premier League's handling of their case, citing a lack of consideration for "the unique circumstances of the club" and its mitigating factors.

Forest argued that their spending capacity was unfairly compared to that of other clubs who benefit from longer tenures in the top flight and consequently higher spending limits. The team, managed by Nuno Espirito Santo, is set to face Chelsea next, followed by a season finale against Burnley.

Botafogo increases borrowings while Textor spreads the cash around

Brazilian football club Botafogo have taken on significant debt from its American owner John Textor, borrowing $66 million. However, not all of this capital has stayed within the club.

Reports from Brazilian media indicate that Botafogo's financial statements show a loan agreement with XP Investimentos in 2023 for working capital purposes, with a portion of the funds being transferred to RWD Molenbeek, another club under Textor's MCO Eagle Group.

According to the financial accounts, "The loans were obtained with the aim of providing working capital support to the company, thereby ensuring its ability to operate effectively and meet its financial obligations."

No risk for Botafogo

The statement also clarifies that "the risks linked to this operation are shared between SAF Botafogo and majority shareholder Mr. John Textor" and assures that "the transaction does not imply risks for SAF Botafogo" due to the majority shareholder's guarantee.

In addition to XP Investimentos, Botafogo has also borrowed from Money Plus $4 million, and Brazilian bank Daycoval $3.3 million.

Textor acquired Botafogo in 2022 and has since voiced concerns about match-fixing in Brazilian football. Last season, despite a promising start, Botafogo failed to secure their first domestic title since 1995 due to a late-season decline in performance.

At the same time as it has been revealed that 777 Partners have faced 16 lawsuits in the US, the group is now also investigating troubles in Belgium

The American owners of Belgian football club Standard Liège, are facing legal action from the Immobilière du Standard de Liège, the real estate arm of the club, reports several Belgium media. The complaint, in the form of a request for seizure of shares, is being filed in response to 777 Partners' alleged failure to fulfill payment agreements for the purchase of the Immobilière.

According to the reports, when 777 Partners acquired Standard Liège over two years ago for approximately €12 million, they also agreed to buy shares of the Immobilière du Standard with the intention of raising funds to renovate the Maurice Dufrasne stadium in Sclessin.

However, it has since emerged that 777 Partners have not paid for the shares from various previous shareholders, with the second installment due by April 15th remaining unpaid.

Former shareholders, including ex-Standard president Bruno Venanzi and players Axel Witsel, Edmilson Jr, and Nacer Chadli, have appointed lawyers to assert their rights. Following the filing of the complaint, a judge will have about ten days to issue an order.

Contested certain elements post-sale

The aim of this legal action is to seize 777 Partners' assets in Belgium, which essentially means taking ownership of Standard Liège. Concurrently with this lawsuit, Venanzi is reportedly also awaiting payment of the second installment for the sale of the club. While he received the first payment, the second one, estimated at €4 million, has not been paid even though it was due on April 20th.

On their part, 777 Partners have consistently contested certain elements post-sale as a basis for challenging the payments due to Venanzi and for the shares of Immobilière du Standard de Liège.

Italian government propose new sports finance agency

The Italian government is proposing to establish a new agency that would take over the responsibilities of Covisoc, the current body overseeing the financial health and expenditures of professional football clubs for league registration purposes. This move would primarily affect Serie A, Serie B, and Serie C clubs.

The plan, part of the Meloni Government's initiative, was detailed in a document sent on Friday, 3 May, first to the Italian Football Federation (FIGC), then to the Italian National Olympic Committee (CONI).

According to the proposal, this new agency would operate under the supervision of either the Department of Sport at Palazzo Chigi or the Minister of Sport, Andrea Abodi. It would replace Covisoc in making decisions related to league registrations. The decisions made by this new body would be final, eliminating the current possibility of appeals after Covisoc's recommendations are considered by the Federal Council.

Serie A clubs against reform

On Monday afternoon, the Serie A clubs issued a statement expressing their disapproval of the reform but also confirmed their desire for autonomy from the FIGC.

"The Serie A clubs, without prejudice to the commitment already expressed several times to improve economic-financial sustainability and the transparency of controls in Italian football, expressed unanimous opposition to the proposal to establish a government agency for the economic and financial supervision of professional sports clubs, claiming the autonomy of the sports system from politics.

"Furthermore, all Serie A clubs have once again reiterated the need to proceed towards full autonomy of the Serie A League within the sporting system."

Everton's prospective new owner 777 Partners has held discussions with an American private equity firm specialising in distressed debt as the Miami-based group aims to complete the protracted takeover.

As reported by Bloomberg, GDA Luma Capital is in discussions to offer debt financing to 777. It is understood the New York-based firm is offering funds for 777 to continue funding Everton’s new stadium and meet ongoing capital requirements.

GDA Luma is led by Gabriel de Alba, a veteran distressed investor and co-chair of Cirque du Soleil Entertainment Group. The firm describes itself as providing "capital solutions" to companies facing "complex financial and operational challenges". Its involvement follows a move by Everton’s main financial adviser, Deloitte LLP, to find new backers to save the 777 deal.

GDA Luma has previously held talks with FC Barcelona over buying a stake in Barça Studios, and according to company filings investors in the firm include Chelsea co-owner Todd Boehly.

Major stumbling block

777 agreed to buy current Everton owner Farhad Moshiri's 94 per cent stake in September but it has struggled to complete the deal, which is still yet to be approved by the Premier League.

Repaying a £158 million loan to MSP Sports Capital remains a major stumbling block, while 777 also needs to provide about £100 million to complete construction of the club's new 53,000-capacity stadium at Bramley-Moore Dock.

Borussia Dortmund announce €48.9 million profit for first three quarters of 2023/24

Borussia Dortmund have recorded a profit of €48.9 million for the nine months ending 31st March, 2024, following the €26 million surplus earned in the corresponding period last year.

Turnover, excluding player sales, reached €354.7 million, up from €322.4 million. Compared with the first three quarters in 2022/23, broadcast income increased from €131.8 million to €147.3 million, while commercial revenues rose from €104.3 million to €106 million, and matchday income climbed from €33.8 million to €38.3 million.

Conference, catering and miscellaneous income rose from €26.8 million to €31.2 million, and merchandise sales increased from €25.5 million to €31.8 million.

When player trading income was taken into account, total revenues for the period amounted to €473.7 million, up from €410.7 million for the first nine months of 2022/23.

In terms of costs, Dortmund’s wage bill grew from €174 million to €193 million, although depreciation, amortisation and write-downs fell from €76.9 million to €70.4 million. Other operating expenses increased from €87.9 million to €115.7 million.

€22 million loss for Q3

Commenting on the results for the third quarter, Trion Reid, an analyst at Berenberg, said turnover of €98.2 million was “slightly shy of our €102 million estimate, with the main difference coming from lower merchandise revenue – likely driven by the high comparison base from a special shirt from last season.”

He added: “On costs, personnel expenses (up 8 per cent year-on-year) and other operating expenses (up 33 per cent year-on-year) were higher than we expected, likely reflecting the cost of the club’s progress in the Champions League.

“This led to an EBITDA loss of €1.8 million that was worse than the €11 million profit we had forecast. However, lower-than-expected player amortisation charges (down 12 per cent to €23.8 million) meant that the net loss of €22 million was more in line with our estimate (€17 million).”

Manchester United to cover Dan Ashworth’s arbitration costs in Newcastle dispute

Manchester United will cover incoming sporting director Dan Ashworth’s legal costs if he takes Newcastle United to arbitration, according to a report from The Athletic.

Ashworth was placed on gardening leave by Newcastle in February after informing the north-east club he wished to explore the opportunity at Old Trafford.

It emerged last month that he would take his current club to arbitration amid a standoff as the two clubs negotiated a compensation package, with Newcastle seeking as much as £20 million.

Manchester United were unwilling to meet that figure and the matter is set to be handled by a third party in a case anticipated to start this month – and it is understood Ashworth’s would-be employers would cover his legal costs.

The working assumption from Old Trafford is that Ashworth is unlikely to arrive before the end of the summer transfer window, so it is business as usual until then for Manchester United’s recruitment department.

Cutting back on staff costs

Although it is standard industry practice for Ashworth’s expenses to be covered by Manchester United, it comes at a time when INEOS is cutting back on staff costs.

The consultancy firm Interpath was enlisted to review costs across the club and company credit cards have been taken away from staff. Last week, employees found out they would have to pay £20 if they wished to travel on a club-provided coach to the FA Cup final against Manchester City at Wembley on 25th May.

Aston Villa propose raising Premier League PSR permitted losses to £135 million

Aston Villa are pushing for the Premier League to raise the level of losses allowed under its Profitability and Sustainability Rules (PSR) for its final year, The Times has reported.

It is understood Villa have raised the issue with clubs for the limit to be increased from £105 million over three years to £135 million before PSR is replaced.

Villa brought up the proposed increase at the Premier League shareholders meeting in London last Monday, and would need to formally raise it again at the league’s annual general meeting in June for a vote to take place.

Such a move would be hugely controversial given the points deductions imposed on Everton and Nottingham Forest this season for breaching the limit.

PSR will be changed for the 2025/26 season, with a new squad cost rule being introduced limiting clubs to spending a maximum of 85 per cent of their revenue on wages, transfers and agents’ fees.

Everton appeal

Everton have had two breaches of the £105 million limit punished with points deductions – six points for the period ending 2021/22 and two points for the period up to 2022/23. An appeal against the two-point deduction will be heard in the final week of the season.

Forest have appealed against a four-point deduction for a breach for the period ending 2022/23 and are awaiting the outcome, which could be decisive in their fight to stay in the Premier League.

Villa have previously insisted they are operating within the PSR limit despite announcing a £119.6 million loss for 2022/23 and having the seventh-highest wage bill in the top-flight.

FIFA tells judge it plans to change rule barring clubs from playing domestic matches abroad

An attorney representing FIFA in the ongoing antitrust lawsuit filed against it by Relevent Sports has said a rule change allowing domestic league matches to be played abroad could come “before the end of the year.”

As reported by The Athletic, the declaration came last week in a federal court hearing on the antitrust case filed by New York-based Relevent against FIFA and the US Soccer Federation. It marked a rare public appearance by attorneys from all parties in their years-long legal dispute that could significantly change the business of club football in the US.

Last month, Relevent and FIFA said they had reached a settlement agreement “without prejudice”, meaning Relevent reserves the right to reopen its litigation should FIFA not come up with a satisfactory reconsideration of its position.

Confusion in courtroom

Last week’s hearing was meant to be a status conference on the case, but there appeared to be confusion in the courtroom, with attorneys and even judge Valerie E. Caproni asking repeatedly: “Why are we here?”

FIFA’s attorney H. Christopher Boehning said: “I expect, before discovery is over, there will be a separate set of rules in place.” When pressed by Caproni about when those changes might come, he said they could happen “before the end of the year.”