Chelsea have raised around $500 million in fresh investment from US alternative asset manager Ares Management, The Financial Times reports.

The West London club’s US owners are understood to have sought the capital injection to help fund the Stamford Bridge revamp and acquire stakes in more football clubs.

One source described the arrangement as a preferred equity deal. Ares has accumulated a series of interests across football, including in Atlético de Madrid and John Textor’s Eagle Football group.

Former captain John Terry interested in buying stake in club

Meanwhile, The Daily Telegraph has reported that former Chelsea captain John Terry is part of a group exploring the prospect of buying a stake in the club.

Terry and his partners are said to be considering making an offer for a 10 per cent stake that would incorporate fan investment through the online technology platform PrimaryBid, whose co-founder and CEO Anand Sambasivan is a season-ticket holder at Stamford Bridge.

With co-controlling owner Todd Boehly open to new investment, Terry’s group is understood to be one of a number of potential investors in Chelsea, some of whom had been interested in Manchester United, although it remains to be seen whether they can raise enough cash.

Terry has previously looked into investing in Chelsea, being part of a ‘True Blue’ consortium during the bidding process that saw Boehly and Clearlake Capital buy the club from Roman Abramovich last May.

 

Marseille in chaos as manager Marcelino departs club and four executives step back from roles after heated fan meeting

Olympique de Marseille have been plunged into chaos after 48 hours of dramatic developments led to the departure of manager Marcelino from the club and four executives, including president Pablo Longoria, stepping back from their roles.

The developments followed a heated meeting between fan groups and club executives on Monday evening at which supporters reportedly threatened the Ligue 1 club’s hierarchy and heavily criticised Marcelino’s playing style and the current sporting policy at the club.

Marseille lost their Champions League qualification tie to Panathinaikos, placing them in the Europa League, but are in third place in the French top-flight after five games.

However, according to French media reports, Marcelino had told his players that the dour 0-0 draw at home against Toulouse on Sunday was his final game in charge of Les Phocéens amid growing supporter protests and after Longoria had reportedly admitted he had made a mistake in appointing him as head coach.

In a statement released on Wednesday, the Ligue 1 club confirmed that Marcelino has left after just seven competitive games in charge, and in explaining the reasons for his departure referred directly to the meeting held on Monday.

“Olympique de Marseille considers that the events of September 18 do not allow Marcelino and his technical staff to exercise in good conditions the function for which they were hired,” the statement read. “As a result of this deplorable situation, Marcelino and his staff will not continue their mission at Olympique de Marseille.”

“Threat of a ‘war’”

In an earlier statement issued on Tuesday night, Marseille said that “representatives of supporters' associations expressed their wish to see the current OM Board resign” at the gathering on Monday, adding: “The threat of a ‘war’ (sic) against them was issued, as long as they did not resign.”

Alongside Longoria, the other club executives present at the meeting were sporting director Javier Ribalta, finance director Stéphane Tissier and CEO and strategy director Pedro Iriondo. French media reported on Tuesday that all four have decided to temporarily step back from their roles.

 

Ajax to investigate football affairs director Sven Mislintat over conflict of interest in player transfer

Ajax have confirmed they are investigating the club’s director of football affairs Sven Mislintat over an alleged conflict of interest, which reportedly relates to the €8 million transfer of Croatian defender Borna Sosa to the Dutch giants from VfB Stuttgart earlier this month.

The club said the recent transfer of a player was facilitated by a scouting agency that may have a stake in a football data firm partially owned by Mislintat. According to Dutch media reports, the player concerned was Sosa.

The Ajax statement read: “Before the appointment of director of football affairs Sven Mislintat, AFC Ajax NV was informed by him about his shareholding in Matchmetrics GmbH. Contractual agreements were made between the club and Mislintat about this at the time.

“The club management was asked about a shareholding that AKA Global GmbH, a consultancy for professional athletes, would have obtained in Matchmetrics. Ajax was not aware of this. Since a player recruited by Ajax was assisted by AKA Global this summer, the club is looking into this and is assisted by external advisors.

“An independent external investigation will also be carried out by a forensic accountant. Sven Mislintat has stated that he will cooperate fully, including sharing all relevant documentation.”

Successor to Marc Overmars

Mislintat, who previously worked at VFB Stuttgart and Borussia Dortmund and is nicknamed the “diamond eye” for his scouting abilities, was announced as director of football affairs at Ajax in April as a successor to Marc Overmars.

 

Premier League owners to voice concerns over Everton's proposed sale to 777 Partners

A number of Premier League owners are set to express concerns about Everton’s proposed sale to 777 Partners at the top-flight clubs’ first meeting of the season today, according to The Daily Mail.

The issue is expected to be discussed informally at the gathering of Premier League owners and executives in London, although it does not feature on the official agenda.

The other clubs’ worries are understood to centre on uncertainty over the source of 777’s funding for the £500 million deal and the danger of potential reputational damage to the Premier League given the Miami-based investment firm is involved in fighting several court cases in the US.

Yet to receive disclosure on terms of deal

The Daily Mail understands that the Premier League will not be in a position to provide any guidance to the clubs at the meeting as it has yet to receive disclosure from Everton or 777 on the terms of the deal.

Sources close to the deal have told the newspaper that 777 plans to use its own capital rather than borrowing from elsewhere, although given the investment firm owns 60 companies establishing the origin of the money may not be straightforward.

The Premier League has privately conceded that completing due diligence on the takeover could take months, which may leave Everton facing cash flow issues before the end of the season.

 

Reading owner Dai Yongge charged with misconduct by EFL

Reading owner Dai Yongge has been charged by the English Football League (EFL) with misconduct after failing to deposit enough money into an account to cover the club's monthly wage bill.

The Chinese businessman was told by the EFL in August to put 125 per cent of the wage bill into a designated account by 12th September, and after missing the deadline the club received a suspended three-point deduction with immediate effect last week.

Reading had already received a one-point deduction in August after failing to pay their players’ wages in April, as well as last October and November, with a further three points suspended.

Alongside August’s point deduction, Dai was also fined £10,000. He had been ordered to deposit the money into the designated account to mitigate the risk of further late or partial payments.

“Repeated failings”

In a statement, the EFL said: “The League considers these further proceedings against him personally are necessary given the repeated failings in meeting the Club’s funding requirements which have only a detrimental impact on the Club and its wider stakeholders.

“This matter will now be considered by an independent Disciplinary Commission in accordance with EFL Regulations.”

As reported by The Athletic, the decision to charge Dai personally represents a clear move on the EFL’s part to apply pressure on the Chinese businessmen to sell the club. The league pursued a similar strategy with Birmingham City’s unpopular owners last season and that eventually led to a change of ownership.

Potential new Everton owners, 777 Partners, have already provided the club with a sizeable loan, reports The Athletic.

On Friday, it was announced that owner Farhad Moshiri had reached an agreement with the Miami-based investment firm to acquire his 94.1 per cent majority stake in the club.

That agreement is done in principle, with several caveats attached relating to the potential value of the deal. There is also the requirement for 777 Partners to gain regulatory approval from the Football Association, Premier League, and Financial Conduct Authority. This is in addition to ensuring that the deal is acceptable to the major existing creditors of the club.

Short-term working capital

However, according to The Athletic, 777 Partners have already loaned a sum of money on an interim basis to help with short-term working capital requirements and the stadium build.

While the financial details of the loan agreement have not been disclosed, other media reports suggest it to be around £20 million. 777 Partners also have shareholdings in Genoa, Vasco da Gama, Hertha BSC, Standard Liege, Red Star FC, Sevilla, and Melbourne Victory.

Chelsea's £2 billion Stamford Bridge renovation takes step forward

Chelsea's plans for a £2 billion renovation of Stamford Bridge have come a step closer, as a timeline for the proposed construction works has emerged.

The club have been considering redevelopment options for their west London stadium for the past decade. Funds for the rebuild were set aside as part of Todd Boehly and Clearlake Capital's £4.25 billion acquisition of the club in May 2022.

According to the Standard, Chelsea have agreed in principle to purchase most of the two-acre Sir Oswald Stoll Mansions site. This site, adjacent to Stamford Bridge, is currently owned by the veterans' charity Stoll. If the club acquires the land, it could pave the way for a full-scale rebuild of the stadium, increasing its capacity from 42,000 to at least 55,000.

Not yet finalised

However, Chelsea are awaiting the results of a nine-week consultation with Stoll's residents. The outcome will inform the decision of the charity's board of trustees in early October. Under the proposed deal, Stoll would retain 20 flats on the site, estimated to be worth £50 million. They would use the proceeds to provide new homes with improved facilities for veterans.

Chelsea have not yet finalised their final plans for the redevelopment or relocation. The club will need approval from 75 per cent of shareholders in Chelsea Pitch Owners, who own the freehold of Stamford Bridge and the Chelsea name. If approved, construction of the new stadium is expected to take approximately five years.

Paris Saint-Germain’s player sales to Qatar scrutinized by UEFA as part of financial fair play

L’Équipe is reporting that UEFA’s Club Financial Control Body will investigate the transfers of three Paris Saint-Germain players – Marco Verratti, Julian Draxler, and Abdou Diallo – to Qatar Stars League sides.

As Qatar is the main shareholder of PSG through Qatar Sports Investments – a subsidiary of the country’s wealth fund – the proximity between the Qatari clubs and PSG is called into question.

According to the newspaper, France’s top club was reportedly keen to avoid any more Financial Fair Play breaches, but UEFA is apparently looking to determine whether the “close relationships” between PSG and the buying clubs led to transfer fees being inflated.

The outlet reports that the financial fair play experts at UEFA may “freeze” a transfer in a club’s financial accounts if they believe the transaction occurred between related parties. UEFA may also do so if they feel the transfer fees are inflated in order to circumvent the need to balance the books.

Sold to market prices

The Ligue 1 champions told L’Équipe that they understood the controversy. However, they feel they are within their rights considering Qatar Sports Investments does not own any shares in either Al-Arabi SC or Al-Ahli. PSG also believes that Verratti, Diallo, and Draxler have been sold at market prices.

Tuesday, it was also reported that PSG talent Ilyes Housni has joined Qatar club Al Sadd on a one-year loan deal.

 

West Bromwich Albion intensifies search for new owner to prevent fire sale of players

West Bromwich Albion are intensifying its search for a new owner to prevent a fire sale of players in the January transfer window.

The Championship club are in talks with potential buyers from America and the Middle East to secure a £50 million takeover before the end of the year, according to the Telegraph.

Financial difficulties have escalated for West Brom after failing to generate sufficient funds through player sales during the summer transfer window. While some offers were made for players, the club rejected them to maintain squad competitiveness. However, this decision has raised concerns about future cash flow, putting pressure on West Brom to sell players in January.

Loan from MSD

Owner Guochuan Lai, who has faced criticism from supporters, is seeking a buyer to ensure the squad remains intact. Talks are being led by WBA Group director Xu Ke, but no parties are currently close to entering due diligence. Lai has declined personal investment and wants the club to be self-sustainable.

West Brom secured a £20 million loan from American private equity firm MSD earlier this year to cover running costs as parachute payments from the Premier League ended. The club's financial constraints limited their activity in the summer transfer window, with only three signings made.

Celtic have revealed record financial results for 2022/23, with a profit of £40.7 million, up from £6.1 million the previous year, and total revenues of £119.9 million, up 35.8 per cent on the £88.2 million earned in 2021/22.

The key factor was the Scottish Premiership club’s participation in the group stages of the Champions League, after competing in the Europa League the previous season, resulting in greater ticket and media rights income.

Celtic were also winners of the domestic treble for a world record eighth time, and qualified for the Champions League group stages for 2023/24.

In his statement accompanying the results, Celtic chairman Peter Lawwell said revenues also received an extra boost from the club’s tour of Australia in November 2022 and a record year for its retail business.

He noted that £13.5 million of other income was recorded from a combination of compensation received following the departure of manager Ange Postecoglou to Tottenham Hotspur and a business interruption insurance recovery in relation to Covid-19.

Player sales income

Income from player sales was £14.4 million, compared with £29 million the previous year, predominantly from the departures of Jota, Josip Juranovic and Giorgos Giakoumakis.

The amount spent on new signings was £13 million, down from £38.4 million in 2021/22. As for costs, operating expenses including the club’s wage reached £95.4 million, 4 per cent up on the £91.7 million total for 2021/22.

 

Al-Khelaïfi backs salary cap for European football: “No one will say no. This is what we want”

Paris Saint-Germain president Nasser Al-Khelaïfi has backed the introduction of a salary cap across European football and said he believes such a move would be widely supported by clubs.

Speaking on the sidelines of the European Club Association (ECA) general assembly in Berlin earlier this month, Al-Khelaïfi told The Financial Times there was growing consensus that more needed to be done to cut rising costs, including potential hard limits on spending.

Al-Khelaïfi, who is also chair of the ECA and a member of UEFA’s executive committee, said: “If you ask all the clubs here, nobody wants to lose money. No one from big to smallest. If we can legally come to a way that the rules will allow us [to bring in a salary cap], everyone will support it, definitely. No one will say no. This is what we want.”

Outspend their rivals

UEFA president Aleksander Čeferin has previously raised the prospect of a hard cost limit, rather than one linked to revenue, and talked openly about a future salary cap for players, in theory making it harder for the richest clubs to simply outspend their rivals.

“If the budgets go sky-high then our competitive balance is a problem,” he told the Men in Blazers podcast earlier this year. “Big clubs, small clubs, state-owned clubs, billionaire-owned clubs, everybody agrees.”

 

UEFA confirms Champions League prize money will remain €2.032 billion for 2023/24

UEFA has confirmed that the total prize money distribution to clubs competing in the 2023/24 Champions League will be €2.032 billion – the same total as for 2022/23.

UEFA said the gross revenue from this season’s Champions League, Europa League and Europa Conference League, as well as the 2023 UEFA Super Cup, is estimated to be €3.5 billion.

Based on that figure, UEFA said the total amount available for distribution to clubs playing in Europe is €2.732 billion, of which €2.032 billion will be distributed to clubs in the Champions League and Super Cup, €465 million to clubs in the Europa League and €235 million to clubs in the Europa Conference League.

Champions League revenue breakdown

For the Champions League group stage, the net revenue available to participating clubs will be divided into four different pillars: 25 per cent for starting fees (€500.5 million); 30 per cent to performance-related fixed amounts (€600.6 million); 30 per cent to coefficient-based amounts (€600.6 million); and 15 per cent to variable amounts (market pool) (€300.3 million).

Each of the 32 clubs that qualify for the group stage will receive €15.64 million, divided into a down payment of €14.8 million and a balance of €840,000.

Clubs that qualify for the knockout stage will receive the following amounts: round of 16: €9.6 million per club; quarter-finals: €10.6 million per club; semi-finals: €12.5 million per club; qualification for the final: €15.5 million per club; victory in the final: €4.5 million.

According to analysis from Calcio e Finanza, the maximum amount of prize money a club can earn will be €85.14 million. Meanwhile, the two clubs that qualify for the 2023 UEFA Super Cup will receive €3.5 million each, with the winner receiving an additional €1 million.

 

FIFA delays spark concerns among 2026 World Cup host cities

With around 1,000 days to go until the 2026 World Cup, cities across the United States are increasingly frustrated with the “tortured pace of FIFA’s preparations and communications and a lack of clarity about their roles”, according to an in-depth report from The New York Times.

Five years after the US, Canada and Mexico were awarded the hosting rights to the tournament, and more than a year after FIFA selected the 16 host cities, the date of the opening game is still not set.

The report also notes that cities and stadiums still do not know how many matches they will host, or on which dates, adding that “opaque rules about sponsorships have left local governments unable to secure deals to cover the millions of dollars of public money they have committed to spend.”

In interviews over the past two months, many officials overseeing World Cup preparations in several cities also shared concerns about public relations missteps, leadership confusion and sudden changes of plans by FIFA “that have left them scrambling to form and adjust their own plans.”

Preparations taken in-house

The concerns have emerged after FIFA announced several years ago that it would take the preparations for the 2026 World Cup in-house, arguing that the change would streamline the planning for a sprawling championship that would be larger and more complex and require greater expertise than ever before.

Asked about concerns from its partners, FIFA said in a statement that “the existing infrastructure and local know-how when it comes to major sporting events are impressive and reassuring.”

It added: “We are working hand-in-hand with our hosts to develop strong operational plans, and our efforts remain on pace to deliver an unforgettable event for fans in 2026.”

 

RFEF acting president hosts 2030 World Cup joint bid meeting

The Spanish Football Federation (RFEF) acting president Pedro Rocha hosted a meeting with his Portuguese and Moroccan counterparts over the weekend to discuss the Spain, Portugal and Morocco joint bid for the 2030 World Cup.

The countries’ football bodies were keen to demonstrate their focus on the bid amid the ongoing fallout from the conduct of former RFEF president Luis Rubiales at the Women’s World Cup final in Sydney.

The hosting of the meeting by Rocha came after the RFEF confirmed on Friday he was leading a “transition process” at the federation “until the upcoming elections”.

Following the meeting, Rocha said: “We walk and move forward hand in hand with a goal that moves and excites us. The FIFA World Cup 2030 project is stronger than ever with the integration of Morocco in our project.”

“No better proposal than ours”

Portuguese Football Federation (FPF) president Fernando Gomes added: “We are convinced that there will be no better proposal than ours. We have been working for years, in coordination with the best professionals, to achieve the best results.”

Moroccan Football Federation (FRMF) president Fouzi Lekjaa also commented on the plans to host the 2030 World Cup, saying: “We know the great responsibility we have, because we are facing a historic opportunity. We will add our best efforts to a great team of professionals, who are working hard to achieve the objective. It is an honour for us to join a candidacy with this strength and scope.”

FIFA will award the right to host the 2030 World Cup in December 2024.

 

WSL aiming to be world’s first £1billion women’s league

England’s Women’s Super League (WSL) is aiming to become the first women’s football division to generate £1 billion in revenue, The Athletic reports.

The WSL’s chair, Dawn Airey, said it has plans to hit that milestone in the next decade, and called on clubs and the league to “be more imaginative” with the matchday going experience as part of the bid to continue boosting revenue.

“One of the stated goals that we have is to make this league the first billion-pound women’s league in the world, that is league revenue, and club revenue and there’s no reason why we shouldn’t do it,” Airey said. “So that’s our goal.

“That isn’t the figure we just plucked from the air, it is based on a pretty decent and detailed business plan over the course of the next 10 years."

New company to run WSL and Championship

Airey also confirmed that the English FA intends to transfer the running of the WSL and Championship over to a new company – currently referred to as ‘NewCo’ – in time for the 2024/25 season. The FA has run the WSL since the league’s formation in 2010.

Everton are set to be taken over by 777 Partners after the club confirmed an agreement has been reached for the American investment firm to acquire owner Farhad Moshiri’s 94.1 per cent stake.

In a statement released on Friday, Everton said the sale is expected to be completed in the fourth quarter of 2023, subject to Premier League, FA and Financial Conduct Authority approval.

The agreement follows months of speculation about a potential change of ownership at the Merseyside club. The takeover would bring to an end the tumultuous tenure of British-Iranian Moshiri, a shareholder since 2016 and majority shareholder since 2018, and would mean that half of the 20 Premier League clubs are American-owned.

Moshiri said in the Everton statement: “The nature of ownership and financing of top football clubs has changed immeasurably since I first invested in Everton over seven years ago. The days of an owner/benefactor are seemingly out of reach for most, and the biggest clubs are now typically owned by well-resourced PE firms, specialist sports investors or state-backed companies and funds.

“I have been open about the need to bring in new investment and complete the financing for our iconic new stadium at Bramley-Moore Dock, on the banks of the Mersey, which I have predominantly financed to date.

“I have spoken to a number of parties and considered some strong potential opportunities. However, it is through my lengthy discussions with 777 that I believe they are the best partners to take our great Club forward, with all the benefits of their multi-club investment model."

High-profile addition

Everton would be the most high-profile addition to 777’s portfolio of football clubs. The Miami-based firm has stakes in Genoa, Sevilla and Hertha Berlin, as well as Standard Liège of Belgium, the Paris-based club Red Star FC, Vasco da Gama in Brazil, and Melbourne Victory in Australia.

 

Premier League set to agree on extra £130 million for EFL in new financial settlement

The Premier League is this week expected to agree to a new financial settlement with the English Football League (EFL) worth an additional £130 million a year, according to The Times.

Talks on a settlement have been ongoing since last year but sources close to the process have told the newspaper that an agreement on money is now in sight. It is understood the remaining sticking points are parachute payments and the cost controls that will go with the extra cash.

The proposal to be put to clubs is for the EFL to receive a sum of money tied to the Premier League’s media rights income, which at the moment would mean around £130 million a year extra on top of the existing £110 million solidarity payments and £40 million youth development funding.

Merit system

The proposed settlement is also expected to include a merit system for distributing the extra money based on league position throughout the three EFL divisions, and to adopt UEFA’s new cost-control model, in which clubs will be restricted to spend only a fixed percentage of their revenue on wages and transfers.

The Premier League clubs are meeting on Thursday, when the proposed deal is expected to be outlined. The EFL clubs are meeting next week and any deal will have to be signed off by all the clubs.

 

Eintracht Frankfurt achieves record sales and returns to profitability

Eintracht Frankfurt have announced a record-breaking turnover of €294.4 million for the 2022/23 season, along with a return to profitability, posting €17.6 million after tax.

This surge in revenue was influenced by several factors. Matchday earnings, which encompass ticketing and hospitality, totaled €53.9 million. This marks a substantial 72.6 percent growth compared to the prior season, during which most home games had limited seating capacity. Revenues from media rights, boosted by participation in the UEFA Champions League and reaching the DFB Cup final, amounted to €140.5 million. This is an increase of €31.6 million from the previous season.

There was also growth in marketing revenues, which rose from €38.2 million to €42.9 million (a 12.3 percent increase). Merchandising sales set a new record at €23.2 million, reflecting a 31.8 percent growth compared to the last season.

Moderate increase in wage bill

The club's total expenses grew by 4.2 percent to €292.6 million, due to higher merchandise material costs and increased depreciation from investments in player acquisitions.

Nevertheless, despite these heightened expenses, Eintracht Frankfurt succeeded in maintaining a modest club wage bill. This, while achieving notable sporting accomplishments, saw an increment of 2.8 percent, settling at €119.6 million.

 

AFC may be sued for allowing Saudi multi-club ownership in Asian Champions League

The Asian Football Confederation (AFC) is facing a potential legal challenge after seemingly ignoring its own regulations on multi-club ownership by allowing three clubs owned by Saudi Arabia’s Public Investment Fund (PIF) to take part in the Asian Champions League.

The Guardian understands that several leading Asian clubs are now considering taking legal action against the AFC and its chairman, Sheikh Salman bin Ibrahim al-Khalifa.

The three clubs at the centre of the controversy are Al-Hilal, who are the most successful team in the history of the AFC Champions League with four titles, along with Al-Nassr and Al-Ittihad.

PIF announced in June it had secured 75 per cent stakes in all three clubs, as well as Al-Ahli, who were promoted last season from the Saudi second tier. Asian clubs with the same owner are forbidden from entering the Asian Champions League if they have more than a 30 per cent stake based on revenue.

City Football Group case

It is understood that in the case of Manchester City’s owners the City Football Group (CFG), which owns 65 per cent of Mumbai City and all of Melbourne City, both fully satisfy the relevant rules and requirements to play in this year’s competition given there is only a slim chance of them meeting in a competition that is split into two regional zones.

Yet while Mumbai and Melbourne compete in the West and East zone respectively, all three PIF-owned clubs and the Saudi Pro-league’s fourth representatives, Al-Fayha, play in the West zone so could potentially face each other in the last 16.

The AFC is now facing calls to explain to its members why it has ignored its own regulations, with a potential legal challenge understood to be among the options under discussion by clubs from the eastern region of the confederation.

 

J-League indicates support for clubs seeking IPOs

The J-League has said it intends to provide financial support and guidance to some of Japan’s leading clubs to potentially pursue initial public offerings (IPOs).

In an interview with Bloomberg, the J-League corporate executive officer Yoshinori Aokage said it is prepared to offer the assistance to top-10 clubs that are competitive, popular and well managed, but didn’t elaborate on the potential help that could be provided.

Aokage added that foreign investors have expressed interest in taking stakes in Japanese clubs but one hurdle is the difficulty of selling any holdings at a later time.

The 30-year old J-League decided to allow clubs to list on the stock exchange last February as it sought to rejuvenate the business as sponsorship revenue declined and games were disrupted by the Covid pandemic.

“Until now there has been no exit path for investors who want to invest in soccer clubs,” Aokage said.
“With the lift of the ban for listing, they can now formulate a strategy for the future.”

Strong performance at World Cup

The J-League sees the Japanese national team’s strong performance at the Qatar World Cup, when it won matches against Spain and Germany, as boosting the appeal of the sport for investors. A source told Bloomberg that two teams in the Japanese league are mulling the idea of going public.

In a protracted battle for ownership, Sheikh Jassim bin Hamad al-Thani and Sir Jim Ratcliffe continue their manoeuvres to acquire Manchester United, nearly 10 months after the Glazer family initially indicated a willingness to sell the illustrious football club reports The Guardian.

Whilst representatives for Sheikh Jassim, a prominent Qatari banker, remain uncertain over the Glazer family's intent, agents acting on behalf of Sir Jim Ratcliffe, one of the United Kingdom's wealthiest individuals, express a higher level of confidence that a sale is forthcoming. No specific timeframe has been delineated by either prospective buyer for finalising the transaction.

A report from The Mail on Sunday earlier this month suggested that the Glazers are in no hurry to relinquish their grip on the club, potentially awaiting offers up to £10 billion. Speculation also arose that the American owners might defer the sale until 2025 when increases in television rights revenue and the Club World Cup expansion could augment the club's value.

Following this report, Manchester United shares endured their most dramatic single-day plunge since their listing on the New York Stock Exchange in 2012.

The Glazers had hinted at the possibility of a sale on 22 November of the previous year, stating they were "commencing a process to explore strategic alternatives," a declaration that fuelled ongoing criticism of their divisive stewardship, which commenced in 2005.

Sheikh Jassim has reportedly tabled a series of bids culminating in a final offer in June, capped at £6 billion. Sir Jim Ratcliffe, in contrast, has floated a proposal to acquire a marginal majority of the club whilst potentially retaining one or more of the Glazers as minority stakeholders. As of yet, both parties await a response from the Raine Group, the American bank overseeing the sale process.

Sponsorship deal

In a parallel development, Manchester United have inked a sponsorship agreement with American technology firm Qualcomm. This new arrangement, set to replace TeamViewer as the primary shirt sponsor from the next season, has led some observers to question the likelihood of an imminent change in ownership.

Though financial particulars were not disclosed, it is speculated that the contract spans three years with an annual worth of £60 million.

 

LaLiga imposes severe reductions on FC Barcelona’s spending cap

La Liga has imposed a drastic cut on FC Barcelona's spending limit for the upcoming season, reducing it from €648 million in February to a mere €270 million. The Spanish top-flight league ratified the new financial caps for all clubs this Thursday, a decision that severely constrains the Catalan giants' flexibility in terms of recruitment and retention of talent.

This newly reduced figure contrasts sharply with the €656 million cap initially set for Barcelona in September 2022. The spending caps delineate the amount clubs can allocate throughout the season on player acquisitions, coaching staff, youth development, and other operational expenditures.

Given that Barcelona's existing wage bill already exceeds €400 million, the club is now constrained to spend only between 50% and 60% of any new revenue generated or expenses reduced, in accordance with La Liga regulations.

Financial problems

This fiscal stricture comes as the latest in a series of financial challenges for Barcelona, who have employed numerous strategies to stabilise their precarious economic situation in recent years. Despite rigorous cost-cutting measures, the club still commands one of the highest wage bills in global football.

In a bid to mitigate their debt burden, Barcelona have resorted to measures such as the sale of their television rights and the partial divestment of club assets. This financial squeeze has also impacted their ability to register new signings, leaving players like Ilkay Gundogan, Inigo Martinez, and Oriol Romeu in limbo ahead of the new season.

This fiscal tightening is not exclusive to Barcelona; La Liga clubs face a collective salary cap that is €489 million less than the previous season's limit. Despite this, Real Madrid continue to enjoy the league's highest spending cap at €727 million, followed by Atletico Madrid with a cap of €296 million.

 

Sporting CP reveal record-breaking turnover and €25 million profit in 2022/23

Sporting Clube de Portugal have released its 2022/23 accounts ahead of its General Assembly scheduled for 2 October.

The club reported a record-breaking turnover of €125.1 million propelled by increasing matchday and commercial income as well as other income.

As usual the Portuguese club had to rely on high-profile player sales - such as those of Matheus Nunes and Palhinha - to make a profit before tax of €25.6 million.

"A new chapter"

Sporting President Frederick Varandas, in his opening statement for the Accounts, heralded the possibility of "the beginning of a new chapter" in which investment could escalate without compromising the club’s short-term objectives and sustainability.

The report noted a point of caution as current liabilities double those of current assets, requiring “meticulous financial management, particularly concerning external financing and banking relationships”.

Varandas' was first elected President in September 2018, with the club facing severe financial difficulties. Under his charge Sporting has achieved a resurgence, winning a domestic football championship in 2021 and also achieving a variety of national and international titles across other disciplines, including futsal, roller hockey, judo, and athletics.
 

Arsenal CEO Vinai Venkatesham to step down next year

Vinai Venkatesham, the Arsenal chief executive, has announced he will leave the club next summer after 14 years at the Emirates Stadium.

Venkatesham will end a lengthy association with the club, whose commercial department he joined in 2010. He was appointed chief executive in September 2020, following a time of huge change at executive level.

He played a major role in helping Arsenal to navigate the challenges of the coronavirus pandemic and, alongside sporting director Edu, has overseen the rebuild of the first-team squad following the appointment of Mikel Arteta as manager.

“This was a tough decision, but it is time to pursue another challenge,” Venkatesham said. “Now is not the time for goodbyes as I remain focused until my last day and supporting a seamless transition.”

Drive the club forward

Josh Kroenke, the club’s co-chairman, said “change and succession is something the club is well prepared for. The Board remains committed to our strategy and will address leadership change as we continue to drive the club forward.”

Venkatesham was made managing director of Arsenal following the departure of chief executive Ivan Gazidis in 2018. He then worked alongside Raul Sanllehi, the club’s then-head of football, before Sanllehi’s sudden departure in August 2020.

 

Manager who bet £1 million spared sanction by FA investigators

An investigation carried out by The Athletic has revealed that a football manager, known only as "Manager A" for legal reasons, has been covertly spared any substantial punitive action despite gambling close to £1 million, including bets on his own sport. This comes as Brentford striker Ivan Toney is serving an eight-month suspension for similar offences.

Manager A was embroiled in a court case last year where he confessed to being a gambling addict. Although a majority of his bets were placed on horse racing, he also violated FA rules by betting on football. The manager held eight betting accounts and incurred losses of £270,000 over two years. Despite this, the FA has opted merely to issue a warning, purposefully keeping this decision away from media scrutiny.

The manager’s case was in part complicated by legal anonymity, a result of a trial involving former footballers Alan Rogers and Steven Jennings, who were accused of blackmailing him. The case was eventually dropped after Manager A decided not to proceed with the trial.

It remains unclear if the manager’s state of mind played any role in the FA's leniency. However, the contrast with other similar cases is glaring. Ivan Toney, for instance, is currently under an eight-month ban for 232 breaches over a four-year period. Newcastle United's Jack Colback was fined £25,000 for a single bet on a Champions League match. Kyle Lafferty faced a £23,000 fine for one bet on two Spanish games.

FA silence

The FA has yet to offer any explanation or context for their decision, reinforcing concerns about whether the governing body is willing to squarely address issues that compromise the sport's integrity. Rogers, for his part, is understood to be initiating legal proceedings against Manager A to recover legal costs from the abandoned trial.

Its apparently inconsistent application of its self-professed "zero-tolerance policy" has led to increased scrutiny and calls for transparency. Questions are inevitably being raised about the governing body’s priorities at a time when sponsorship deals with bookmakers permeate the sport.

Juventus are set to post a €110 million loss for the 2022/23 financial year after the club’s parent Exor reported a €81 million deficit for the second half of the year ending June 30th 2023.

Juventus had previously reported a €29.5 million loss for the first six months to 31st December 2022. The Turin club are expected to officially release their results for the full 2022/23 financial year later this month.

Sixth consecutive annual deficit

If the losses were confirmed, it would be the sixth consecutive annual deficit for Juventus after losses of €239.3 million in 2021/22, €209.9 million in 2020/21, €89.7 million in 2019/20, €39.8 million in 2018/19 and €19.2 million in 2017/18.

Exor owns 63.8 per cent of the shares and 77.9 per cent of the voting rights at Juventus.

 

FC Barcelona unveil Deco as sporting director as part of new structure

FC Barcelona have officially unveiled Deco as the club’s new sporting director as part of a new structure for the playing side of the club.

In a statement, Barça said the former midfielder will work closely with head coach Xavi, while Bojan Krkic is to be the new football coordinator, responsible for monitoring the youngsters at the club’s La Masía academy with the head of youth football, Jose Ramon Alesanco.

The statement added: “Deco will also be working with Paulo Araujo on scouting and his managing director will be Franc Carbó.” The club said the structure and new appointments will be “supported by the Sporting Commission chaired by Joan Laporta and formed by Rafael Yuste, Joan Soler, Deco, Enric Masip and Bojan Krkic.”

Criticism of previous transition

At a press conference held to announce the changes, Deco confirmed that he would be taking over duties from both Jordi Cruyff, his predecessor, and director of football Mateu Alemany, who has also left the club.

The Brazilian-Portuguese also admitted that from a distance the club did not handle well the transition away from their historic team under Luis Enrique.

“I think everything is a phase of transition,” he said. “Barça has had the best years with the generation of Messi, Pique, Busi [Busquets] … The generation that has made the most impact. They are players who have given a lot to the club.

“As a club, transitions are always difficult and if you don’t do them well it is difficult. Teams are not eternal. I was not here on the inside, but I believe that looking at it from the outside, the transition has not been handled well. They took too long to react when there were players at an older age.”

 

VfL Bochum MD Ilja Kaenzig: Football faces threat to its “core business" from climate change

VfL Bochum managing director Ilja Kaenzig has warned that football’s “core business" is under threat from the climate crisis as the likelihood of matches being affected increases.

Speaking at an event in Berlin on the topic of sustainability in professional football, Kaenzig said: "Torrential rains or droughts mean that training sessions can no longer be held or games have to be postponed."

In July, fellow Bundesliga club VfB Stuttgart cancelled their training camp in Austria due to persistent heavy rainfall and unplayable surfaces, while in June the European Championship qualifier between Scotland and Georgia came close to being abandoned after a delay of around 100 minutes due to a waterlogged pitch.

Kaenzig warned that matches, football’s most important asset, “are in danger” due to the growing frequency of extreme weather events.

Sustainability criteria for DFL licensing

Last year, the German football league (DFL) introduced minimum environmental sustainability criteria in the licensing requirements for its 36 professional clubs, although a number of teams had already been undertaking relevant initiatives.

DFL CEO Steffen Merkel said: "A lot has happened at the clubs and also in the DFL. We have to take responsibility and use our reach in a positive way."

 

Parma to invest €138 million in Tardini stadium revamp

Parma have finalised plans for the revamp of the Tardini stadium with local authorities and are to invest €138 million in the project, according to Calcio e Finanza.

In a statement, the club said it has presented the final design for the refurbished venue to the Municipal Administration of Parma, and declared that it will be a “sports facility of high international level to be built in the area of the current Tardini.”

The new home of the Italian Serie B team will have 20,986 seats and all the stands will be covered. It is understood the investment in the renewal of the stadium, which is owned by the City of Parma, will be entirely borne by the club in exchange for its operation for 90 years.

The stadium inaugurated in 1924 will be completely remodelled, and the club emphasised that "the pitch will be perfectly visible from all points", in contrast to the current venue.

The new ground will also feature a special catering service, and extra facilities providing access for disabled fans. It will be built using eco-sustainable materials and photovoltaic systems.

Large areas for use on non-match days

The project also includes the updating of the club's museum and the official Parma store. In addition, the venue will have large areas that could be used for other events and activities on non-match days.

The club estimates the stadium works will be completed by 2025, and for the next two seasons it has committed to building a temporary ground near the Tardini stadium where they will play their home matches.

 

Reading deducted three points for failing to deposit wages

Reading have been docked three points after the EFL League One club’s owner failed to deposit enough money into an account to cover the club's monthly wage bill.

Owner Dai Yongge was told by the EFL in August to put 125 per cent of the wage bill into a designated account by Tuesday. In a statement, the EFL said he failed to meet the deadline, triggering the suspended points deduction with immediate effect.

Reading had received a one-point deduction in August after failing to pay their players’ wages in April, as well as last October and November, with a further three points suspended.

The EFL said: “As a result of this latest instance of non-compliance by the Club’s ownership, the suspended sanction has been activated and, as per the Commission's instructions, applied by the EFL to the League One table with immediate effect.”

“Extremely disappointed and frustrated”

The EFL added that it “continues to acknowledge the negative impact sporting sanctions are having on the Football Club and remain extremely disappointed and frustrated at the Club’s ownership to meet its ongoing obligations under EFL Regulations. The League will continue to apply its rules in all circumstances deemed appropriate.”

Having now been docked four points in total this season, Reading have dropped to 21st in the League One table on two points.

FC Barcelona’s plans to list their digital unit Barça Media on the Nasdaq Stock Market later this year have been thrown into doubt after the club issued a warning to the US Securities Exchange Commission (SEC).

In an official communication to the body, Barcelona acknowledged that it has been forced to modify the terms of the contract with its partner, the Swiss private equity fund Mountain & Co, after the default of investors who had committed to inject €40 million into the digital subsidiary.

In August, Barcelona resold 29.5 per cent of Bridgeburg Invest, which controls Barça Vision – which is to be merged into Barça Media –to German investment fund Libero and Dutch investment fund NIPA.

That deal was in exchange for €120 million, and came after Orpheus Media and Socios, the original buyers of two 24.5 per cent stakes of Barça Vision, did not pay the full amount they were expected to on time, only footing the initial payment of €60 million.

Libero and NIPA were due to pay €60 million by the end of August, and the investors put up an initial €20 million several weeks after the deal, but Barcelona are still said to be waiting on the remaining €40 million.

Valued at €1 billion

The plan has been to launch the digital unit on Nasdaq through the creation of a special purpose acquisition company (SPAC), with Barcelona keeping an 80 per cent stake in Barça Media, while the SPAC would own the remaining 20 per cent. The transaction would value the unit at around €1 billion.

Barça Media runs Barcelona’s entire digital operation, including its online video business and the property rights of the club’s brand on digital supports and e-sports.

Everton takeover talk quashed ahead of £100 million loan confirmation

Speculation about an “imminent” and “dramatic” takeover of Everton by Miami-based 777 Partners has been played down by multiple sources with knowledge of the matter, reports Senior Correspondent James Corbett.

Multiple media outlets have reported that the club’s majority shareholder Farhad Moshiri is close to a deal with the group, which is majority owner of Hertha Berlin, Genoa and Vasco Da Gama.

777 and its financial advisors, Tifosy, would not comment on the record, but played down talk that a deal was imminent. Other sources with intimate knowledge of Everton’s finances and search for investment noted their surprise at the reports, and said they were wide of the mark.

Moshiri, who has not attended an Everton home game since October 2021, has been looking for outside investment or a sale for the past 18 months. Everton are in the process of an ambitious new stadium build, while the British-Iranian billionaire has faced challenges with his own liquidity following Russia’s invasion of Ukraine, with many of assets tied up in Russia.

MSP loan agreement

Last month a period of exclusivity with MSP Sports Capital, who were seeking an initial 25 per cent investment in the Merseyside club, lapsed. An existing charge on assets by Rights and Media Funding was understood to have waylaid that deal.

“The reality is that Moshiri needs to sit things out until the new stadium, or to have an oil sheikh come in and sweep existing obligations away,” said one source.

Pointing to a €200 million fundraise that was launched in the summer, the source added: “I don’t think 777 have access to those sort of amounts.”

Everton have nevertheless proceeded with a loan agreement with MSP and a regulatory filing confirming MSP Sports Capital have provided over £100 million in loans to Everton Stadium Development Holding Company is expected to become public in coming days. The loans will provide cashflow on the Bramley Moor Dock project, which is due for completion next year.

It is understood these funds were transferred to the company over several tranches between May and August this year. An Everton spokesperson confirmed in a brief media statement that a loan had been secured in late August, but confirmation of its source and amount has not yet been a matter of record.
 

Manchester United ‘in advanced talks’ with Qualcomm over £60 million shirt sponsorship deal

Manchester United are in advanced talks over a new front-of-shirt sponsorship agreement with the American technology company Qualcomm, according to The Athletic.

United are believed to be targeting a deal worth £60 million. It is highly unlikely the agreement would come into force this season, given that many replica shirts will already have been sold, and therefore it would be expected to commence in time for the 2024/25 campaign.

United have an existing relationship with Qualcomm, having announced a deal in August 2022 to promote Qualcomm’s subsidiary brand Snapdragon, which powers many of the world’s premium smartphones, PCs, gaming devices, connected cars and smart wearables.

As part of that deal, Qualcomm also agreed to advise United on planned improvements to mobile connectivity at Old Trafford, in order to enhance fans’ experience on match days.

TeamViewer agreement

United have been searching for a new front-of-shirt sponsor since TeamViewer, a Germany-based software firm, announced last year that it did not intend to renew its deal with United a five-year agreement which began in 2021 worth £47 million per year.

Before TeamViewer, United had a £64 million-per-season deal with US car manufacturer Chevrolet that began in 2014.

LFP targets €800 million per year from domestic media rights tender

France’s Professional Football League (LFP) has revealed details of its domestic media rights tender for Ligue 1 and Ligue 2 for the next five-year cycle, running from 2024/25.

LFP has presented two lots on offer totalling €800 million per year. The first lot, worth €530 million, is for three games per gameweek, including the Sunday evening premium fixture.

The second lot is for the other six games, as well as those of the last two gameweeks, and the annual Trophée des Champions, played between the Ligue 1 champions and Coupe de Francewinners.

Scheduling tweaks

LFP managing director Benjamin Morel outlined some tweaks in the scheduling of Ligue 1 games from next season onwards. The unpopular Sunday lunchtime slot will be replaced with a Saturday 7pm slot, while the three 3pm Sunday games will start two hours later at 5pm. Only one Ligue 1 game will start at 3pm on a Sunday. The Friday, Saturday and Sunday evening fixtures are retained.

The LFP is aiming to improve on the current €624 million per year it receives for domestic rights from Amazon Prime (seven games a week, including the most important fixtures), Canal+ (two games a week) and Free (which shows near-instant highlights).

VfB Stuttgart have reported a loss of €16.6 million for the 2022 financial year, running from 1st January to 31st December, with the club pointing to the continued impact of the Covid-19 pandemic as the key factor.

The result follows deficits of €1.2 million in 2021 and €28.4 million in 2020. The Bundesliga club suffered the loss despite generating total revenues of €154.8 million, up €6 million on the previous year. Expenses amounted to €171.4 million.

VfB chairman Alexander Wehrle said that as well as the ongoing impact of Covid, spending on the upgrade of the club’s stadium contributed to the negative outcome.

However, he added that the club is aiming to break even in 2023 as it continues to recover from the pandemic, and also benefits from the completion of the stadium upgrade and the naming rights deal agreed with MHP.

Attempt to remove club president Claus Vogt fails

Stuttgart’s latest financial results were announced at the club’s AGM held over the weekend. During the meeting, a proposal to remove club president Claus Vogt failed to receive sufficient backing, with only 28 per cent of the 1,113 voting members supporting the move.

Vogt stood accused of violations of data protection, lack of communication and transparency in the course of his work in the club committees. However, the president defended himself in a fiery speech against what he said were “baseless allegations".

 

AC Milan opt for Manica to design new 70,000-seat stadium

AC Milan have chosen American architecture firm Manica to design their new 70,000-seat stadium, which is due to open in 2028 or 2029, La Gazzetta dello Sport reports.

Manica, which specialises in the design of sport and entertainment venues, has previously worked on the new Wembley Stadium, and its current projects include the revamp of the Camp Nou, which is due to be completed in 2025, and Miami Freedom Park, the new home for Inter Miami, due to open in 2024.

Manica will work alongside US-based management consulting firm CAA Icon and its founder Tim Romani, who has left CAA Icon to become responsible for the stadium project on behalf of AC Milan.

CAA Icon and Romani have in the past contributed to the building of the Allegiant Stadium, home to NFL team Las Vegas Raiders, and the Chase Center in San Francisco, home to NBA team Golden State Warriors.

Two tiers instead of three

According to La Gazzetta dello Sport, AC Milan’s new stadium will have two tiers rather than the three levels available around most of the San Siro.

The new venue will feature a club store and a 300 square metre museum, while two giant screens, the biggest in Italy, will be placed inside the stadium. There will also be a vast square outside the main entrance for fans to gather before and after matches.

 

RFEF confirms Rubiales resignation as president

The Spanish Football Federation (RFEF) has confirmed that Luis Rubiales has stepped down as president following his kiss of Jenni Hermoso during the medal ceremony at the Women’s World Cup final in Sydney.

RFEF issued a brief statement on Monday confirming that Rubiales has submitted his resignation through a letter to interim president Pedro Rocha.

The statement followed the release on Sunday evening of a clip from an interview on Piers Morgan Uncensored, in which Rubiales said “he can’t continue” in his position. “I am going to [resign] – of course I cannot continue my work,” he said. The full interview is due to be aired on Tuesday.

Rubiales later released a statement confirming his resignation as RFEF president, and from his role as a UEFA vice president.

“After the swift suspension carried out by FIFA, plus the rest of the proceedings opened against me, it is clear that I will not be able to return to my position,” he said.

2030 World Cup bid

Rubiales added that he hopes his resignation will boost Spain’s joint bid with Morocco and Portugal to host the 2030 World Cup.

A number of Premier League clubs have asked the UK government to block nation states from owning English football teams, according to a report from The Guardian.

It is understood the request could potentially form part of the brief of the new independent football regulator, which the government confirmed last week would arrive “when parliamentary time allows”.

During the government’s seven-month consultation process over the plans for a regulator, it is understood that some leading top-flight clubs individually lobbied the government on state ownership, a process separate to any Premier League submissions.

Owners’ and directors’ test

Assessing the suitability of prospective owners and directors will be one of the regulator’s key roles.

The government said its consultation process had revealed support for an “ethics and integrity” component within any owners’ and directors’ test (ODT) and that “some stakeholders suggest that the ODTs should limit state ownership”.

The Premier League did not mention state ownership when it updated its own ODT this summer. An apparent split between the league and some of its clubs follows the takeover of Newcastle United by Saudi Arabia’s sovereign wealth fund, the Public Investment Fund (PIF), in October 2021.

 

FIFA: Summer spending on international transfers reached record $7.36 billion

The total amount spent on international transfers this summer reached a record $7.36 billion, up 47.2 per cent on last year’s summer window and 26.8 higher than the previous record set in 2019, according to FIFA’s latest International Transfer Snapshot.

The analysis, which covers the period 1st June – 1st September 2023, showed that England was the top spender, shelling out $1.98 billion on international transfer fees, while also having the highest number of incoming transfers (449) and the most outgoing transfers (514).

Germany, however, was the number one in terms of receipts from transfer fees, with $1.11 billion. Emilio García Silvero, FIFA’s chief legal & compliance officer, noted that this was “the first time ever that clubs from a single association have received more than $1 billion in the mid-year transfer window alone.”

Saudi Arabia second biggest spender

Saudi Arabia was the number two in spending, with a total of $875.4 million, ahead of France ($859.7 million), Germany ($762.4 million), Italy ($711 million) and Spain (US$405.6 million).

As a result of the Saudi transfer activity, clubs from the AFC region accounted for 14 per cent of the global transfer spending, marking the first time that teams from a confederation other than UEFA have surpassed 10 per cent of the total.

Agent fees also reached a new high, with $696.6 million paid during the summer window, bringing the total for 2023 to date to $853 million, 36.9 per cent higher than in the whole of 2022 and more than in any other year.

 

Benfica return to profitability with €4.2 million surplus for 2022/23

Benfica have reported a €4.2 million profit for the 2022/23 financial year after two successive years of losses driven by the impact of the Covid-19 pandemic.

Turnover reached €195.8 million, up 15.6 per cent on the previous year. Prior to the pandemic, the club had achieved a profit each year since 2013/14.

UEFA prize money rose by €8.9 million, while ticketing revenues were up €5.8 million, sponsorship income rose by €3.7 million and corporate hospitality revenues grew by €2.7 million.

Profit on player sales reached €63,7 million - primarily from the transfer of World Champion Enzo Fernandez to Chelsea.

Expenses reach €245.8 million

Total expenses amounted to €245.8 million, a rise of 1.3 per cent on 2021/22, and marking a CAGR of 7.7 per cent over the last five years, in line with the CAGR in operating income over the same period, which was also 7.7 per cent.

The total wage bill only increased slightly from €112.6 million to €114.7 million.

Net debt at the close of 2022/23 was €140.8 million, down 4.3 per cent on the previous year. This was equal to 48.5 per cent of Benfica’s total income, compared with 53.4 per cent at the end of 2018/19.

 

Borussia Dortmund CFO Thomas Tress questions PSG and FFP over Neymar Saudi sale

Borussia Dortmund chief financial officer Thomas Tress has suggested Paris Saint-Germain secured an unfair advantage in the transfer market by selling Brazilian forward Neymar to Saudi Premier League club Al-Hilal, according to a report from The Athletic.

It is understood that during a meeting of elite clubs at last week’s European Club Association (ECA) General Assembly in Berlin, Tress questioned whether UEFA’s Financial Fair Play rules were being applied effectively and stunned those present by highlighting PSG’s deal with Al Hilal for Neymar, which was worth in excess of £80million.

According to sources in the room who spoke to The Athletic, Tress appeared to be arguing that the Saudi cash had distorted the transfer market by disproportionately allowing certain clubs such as PSG a way out of tight FFP restrictions and enabling the French club to raid European rivals for talent.

Confronted afterwards

PSG president and ECA chairman Nasser Al-Khelaifi was not present in the room at the precise time of Tress’ comments but was informed and confronted him afterwards.

Al-Khelaifi felt Tress had embarrassed him by making the comments in front of other clubs and said that if there is a problem, it should be discussed amicably between the parties in private. The two clubs in general consider themselves to have good relations.

The Dortmund CEO Hans-Joachim Watzke subsequently called Al-Khelaifi to apologise. The Bundesliga club have not sold any players to the Saudi Pro League during the summer window.

 

Elliott files legal claim against Blue Skye over AC Milan sale dispute

AC Milan’s former owner, the American investment fund Elliott Management, has launched legal proceedings in Luxembourg against minority club investor Blue Skye Financial Partners over its challenge to last year’s takeover by RedBird Capital Partners.

Elliott have brought a writ of private criminal prosecution, called "citation directe" in Luxembourg, and is accusing Blue Skye and its representatives of offences including blackmail, extortion and fraudulent misrepresentation to support its legal actions against the sale.

According to Luxembourg law, a person who believes they have sufficient evidence can sue someone directly before a criminal court, without the public prosecutor's office opening an investigation. It is then up to a judge to decide directly on the merits of the case.

In documents seen by Reuters, Elliott alleges Blue Skye made threats in order to obtain undue financial concessions and filed untruthful documents in its claims to mislead judges to get decisions in their favour.

Blue Skye representatives have been called to appear before the Luxembourg Court on 24th November, according to the writ of summons.

In a statement to Reuters, Blue Skye billed Elliott's claim as "a groundless unilateral action" and an "an attempt to circumvent" the pending legal proceedings set up by Blue Skye.

Court action to block sale

Blue Skye, holding an indirect stake of 4 per cent in AC Milan, initiated court action to block the sale to RedBird or obtain damages in the US, Italy and Luxembourg, where the vehicles owning the club were based.

Blue Skye accused Elliott of violating its rights by engaging in several months of "behind closed doors" talks to sell to RedBird. However, Elliott has called Blue Skye's legal actions as "frivolous and vexatious", meaning it believes they have no reasonable basis in fact or law

European clubs who have sold players to Saudi Pro League teams this year want FIFA to establish regulations that guarantee they will get their money, The Daily Telegraph reports.

The move comes amid fears that late payments could collapse the transfer system, with Saudi clubs having shelled out €878 million in transfer fees this summer.

During behind-closed-doors talks on Wednesday at the European Club Association (ECA) General Assembly in Berlin, some of Europe’s top clubs raised concerns that Saudi Arabia has now become such a major trading partner that it will have to submit to some regulation.

UEFA’s ‘no overdue payments rule’

In Europe, the transfer system is underpinned by UEFA’s ‘no overdue payments rule’ that means clubs must meet their obligations to fellow football club creditors and tax authorities by agreed deadlines.

The system is designed so that one club in financial straits cannot bring down others to whom it is indebted. Should a club fail to meet its transfer fee obligations it will not be licensed to play in UEFA or domestic competition.

However, no such leverage is available over Saudi sides. FIFA operates its transfer matching system (TMS), which oversees the smooth running of the transfer window, but the clubs want tougher guarantees now Saudi Arabia has emerged as a major spender.

New Premier League rules to fast-track FFP disciplinary cases within three months

The Premier League has introduced new rules to fast-track Financial Fair Play (FFP) disciplinary cases following anger among clubs that the league’s charge against Everton was not dealt with last season.

As reported by The Times, under the new regulations, the process for any club charged with a standard financial rule breach must be completed within 12 weeks, including an appeal, so that any points deductions apply to the season in which the rule breach takes place.

Only the “most exceptional cases” will not be covered by the new deadline –such as multiple alleged breaches over multiple years, as in the charges of 115 rule breaches against Manchester City made in February.

The rules mean any club this season that breaks the top-flight’s profit and sustainability rules (PSR), which restrict losses over three seasons to £105 million, will have the sanction imposed before the end of the campaign.

Relegation rivals

Last season, Leeds United, Southampton, Leicester City and Nottingham Forest, who like Everton were all battling to avoid relegation, failed in a bid to have the Merseyside club’s case dealt with before the end of the 2022/23 season. It will go before the Premier League’s independent commission at the end of next month.

However, it was agreed at the league’s summer meeting in June that a 12-week deadline should be imposed for the future. The league has also agreed to bring forward the date for the submission of annual accounts from March to 31st December.

UK government restates commitment to create independent football regulator

The UK government has made a renewed commitment to introduce an independent regulator for English football “as soon as possible” after consulting with clubs and the football authorities.

The intention to set up the new body is underlined in a 52-page consultation response published by the Department for Culture, Media and Sport on Tuesday to its February white paper, “A Sustainable Future – Reforming Club Football Governance”.

The move follows the fan-led review led by former sports minister Tracey Crouch, which recommended the creation of an independent regulator when its report was published in November 2021.

Consultation process

After months of concerted lobbying and a seven-month consultation process, the government has said it has listened to everybody – and has concluded that independent regulation is required.

Culture secretary Lucy Frazer said: “Our football clubs are the lifeblood of communities and the envy of leagues around the world. We want to see them protected for fans now and in the future.

“Today we outline our plans to make sure the new regulator for football is independent, and remains true to its central mission to safeguard these community assets and help the beautiful game continue to grow in England.”

However, as reported by The Athletic, there are still several details to be decided. The government says, for example, that it is “minded to set up a new body to house the regulator” but “all options remain under review” and it will continue to consult experts on the matter.