Paris Saint-Germain are due to announce losses of between €300 and €350 million for the 2021/22 financial year, according to Le Parisien.

The figure would exceed the deficits suffered by the Ligue 1 champions of €224 million in 2020/21 and €124 million in 2019/20.

While PSG were still being impacted by the Covid-19 pandemic in 2021/22, the accounts are expected to show that the club’s high wage bill and large number of contracted players were key factors in the losses.

Last month, PSG were fined €65 million by UEFA for breaches of its Financial Fair Play (FFP) rules in the 2021/22 season. The club was ordered to pay an unconditional fine of €10 million and another €55 million if they fail to comply with the governing body’s break-even requirements.

Agreement signed with UEFA

PSG signed an agreement with UEFA stating its desire to improve the situation as soon as possible.

The club is understood to have budgeted for a turnover of €800 million for the 2022/23 financial year – up from the record €700 million forecast for 2021/22 – which it is expected will ease its losses.

Clearlake Capital co-founder: Chelsea can double revenue to reach £1 billion

Jose E. Feliciano, co-founder and managing partner of Chelsea’s joint owners Clearlake Capital, has claimed the club can double its revenue and reach £1 billion at some point in the future.

The West London club, now owned by the group led by Todd Boehly and Clearlake after their takeover was completed back in May, achieved turnover of £434.9 million in the 2020/21 financial year, and Feliciano said he believes Chelsea have the potential over time to earn more than twice that amount.

Speaking at the Bloomberg Invest conference in New York, he said: “We think we have an incredible opportunity to double revenue. We think we have one of the best media properties and sport properties in the world where we can get to £1 billion of revenue.”

Women’s team “undervalued”

Feliciano also said that Chelsea’s women’s team is a “completely undervalued asset,” with the opportunity to expand both its fan base and financial performance.

“There’s no reason why that property should not be several hundred million dollars of revenue,” he said.

Qatari broadcaster BeIn ‘attracts investment interest from Saudi PIF and US firms’

Saudi Arabia’s Public Investment Fund (PIF) is reported to be considering an investment in Qatari broadcaster BeIn Media Group.

Sources have told Bloomberg that the PIF is among parties that have informally signalled interest in partnering with the Doha-based company, with US private equity firms also keen to invest.

It is understood the broadcaster could also explore alternatives including an initial public offering.

“BeIn Media Group is considering a number of strategic options,” the company told Bloomberg. A representative for PIF declined to comment.

Diplomatic disputes

Even an informal overture from PIF would represent an about-turn for both Saudi Arabia and Qatar following recent diplomatic disputes between the countries that enveloped BeIn.

State-owned BeIn operates across five continents and holds the rights to broadcast some of the world’s biggest sporting events, including the Champions League, in its home market in the Middle East. But it was banned in Saudi Arabia following a souring of relations among the kingdom, the United Arab Emirates and Qatar in 2017.

What followed was a rancorous period in which BeIn accused Saudi Arabia of allowing the pirating of its content through a channel called BeoutQ, something the latter denied.

Lyon losses ease to €55 million as revenues rise by 42 per cent

Olympique Lyon have reported a loss of €55 million for the 2021/22 financial year, down from €107.5 million in 2020/21, as the club made a strong recovery from the Covid-19 pandemic.

Total revenue rose by 42 per cent to €252.6 million, up from €177.4 million in 2020/21, and the club returned to a positive EBITDA of €15.9 million, compared with a negative EBITDA of €33.9 million the previous year.

Lyon benefited from the rebound in the transfer market, with revenue from player sales climbing by 55 per cent to €92.1 million, up from €59.3 million in 2020/21.

Sponsorship income rose by 24 per cent to €42 million, with brand-related revenue up 45 per cent to €17.4 million, while income from matchday and events reached €10.5 million, up from €1.1 million. However, revenues from media and marketing rights fell by 22 per cent to €54.2 million.

Bounceback continues in Q1 2022/23

Lyon said the recovery seen in 2021/22 continued in the first quarter of 2022/23, with a further increase in revenue expected compared with the same period last year. The club said they are aiming to return to European competition next season after missing out this term following their eighth-place finish in Ligue 1 last season.

Earlier this month, Lyon moved the deadline for the takeover of the club by American businessman John Textor to 21st October after the original date set of 30th September passed without the sale being completed.

MLS regular season ends with record attendance figures

Major League Soccer has achieved record attendance figures for the 2022 regular season, as well as achieving significant increases in viewership, social and digital media engagement and merchandise sales.

Forbes reports that overall attendance was more than 10 million, breaking the previous high of 8.6 million set in 2019. A league-best three clubs – Atlanta United FC, Charlotte FC and Seattle Sounders – averaged more than 30,000 fans per match.

In the final year of its current broadcast deal before moving matches to Apple in 2023, MLS also recorded its highest average viewership (356,000 P2+) for matches on Disney networks during the relationship.

The league had a 13 per cent increase in viewership per game on FOX Deportes and ESPN Deportes compared to last season. In Canada, matches that aired on TSN featuring a Canadian club were up 8 per cent compared to the 2021 regular season.

65 per cent rise in social media followers

Across social media, the MLS added 600,000 net followers – 65 per cent more net than in 2021, driven largely by TikTok, where the league added 455,000 followers and is on track to hit 1 million by the end of the year.

Meanwhile, sales of jerseys launched in 2022 on MLSstore.com were up 10 per cent on the previous year, with 17 clubs selling more jerseys year on year.

The increase in the popularity of the MLS has been put down to a variety of factors, including the league’s relationship with Liga MX, increased investment in stadia, both the US and Canada qualifying for the 2022 World Cup, and the arrival of high-profile players such as Javier Hernandez and Gareth Bale.

Newcastle United CEO Darren Eales has revealed the club is open to securing more commercial revenue from Saudi Arabia as it aims to establish itself as a top-six Premier League club.

The Independent reports that, speaking just over a year on from the takeover of the club by Saudi Arabia’s Public Investment Fund (PIF), Eales is confident Newcastle’s association with the sovereign wealth fund can prove fruitful.

Asked if the club was open to further sponsorship deals with Saudi companies, he said: “Absolutely. It would make sense in terms of some of the doors that could be opened by PIF. They invest in a number of countries globally.

“I also think, when you look at a country like Saudi Arabia with a young population – 36 million and growing – football is the number one sport and there is some natural affinity there in terms of the commercial value of having an association with Newcastle.”

He added: “Our vision is a stable top-six club competing for trophies consistently. We have to find a way to get there through the FFP and the challenges we have there.”

Noon.com sleeve sponsor deal

In June, Middle Eastern online shopping destinationNoon.com agreed a deal to become Newcastle’s new sleeve sponsor.

The firm is a joint venture between PIF and the Emirati billionaire businessman Mohamed Alabbar, the founder of Emaar Properties.

Qatar World Cup CEO: Turning tournament into 'platform of political statements' is 'not right for football'

Nasser Al Khater, CEO of the supreme committee for the Qatar World Cup, has urged countries playing in the tournament to focus on their teams’ preparation rather than making political statements or demanding compensation for migrant workers.

During the World Cup build-up a group of European nations, including England and Wales, has highlighted concerns about the suffering of migrant workers and claimed inadequacies in Qatar's compensation funding.

But Al Khater told Sky News: "A lot of people that speak about this issue on workers' welfare … are not experts in the industry. And they're not experts in what they're speaking about.

"And I feel that they feel obliged, that they need to speak. I think they need to really read and educate themselves a little bit more about what's happening on the ground in Qatar."

‘One Love’ armbands “a FIFA matter"

Al Khater stressed that gay fans will be welcome to display affection and rainbow flags.

However, he said "it's a FIFA matter" whether approval is given for England captain Harry Kane and Wales counterpart Gareth Bale to wear multicoloured ‘One Love’ armbands that highlight discrimination.

He added: "This is a sporting tournament that people want to come (to) and enjoy. Turning it into a platform of political statements I don't think is right for the sport."

The CEO also said that special areas will be created for drunken supporters to sober up, and that 95 per cent of tickets have been sold.

FC Porto earn €20.8 million profit thanks to transfer market recovery

FC Porto have reported a €20.8 million profit for the 2021/22 financial year, 11 per cent higher than in 2020/21 as the club benefited from the rebound in the global transfer market.

Last season’s Primeira Liga champions generated €83.7 million from player sales across the year, making it the club’s biggest source of revenue and compensating for a 6 per cent drop in turnover to €143.8 million.

The club suffered financially from being knocked out of the Champions League at the group stage, with UEFA competition revenue falling by 36 per cent to €46.9 million, down from €73.5 million in 2020/21 when Porto reached the quarter-finals. Broadcast income also fell, down by 13 per cent to €42.6 million.

Commercial revenue up 65 per cent

However, commercial revenue rose sharply, climbing by 65 per cent to €25.9 million, while matchday income was €8.8 million, up from €2 million the previous year thanks to the return of spectators following the Covid-19 pandemic.

Income from merchandise sales also saw a big increase, rising by 43 per cent to €7.9 million.

As for costs, the club’s wage bill fell by 11 per cent to €82.6 million, although expenses on external services grew by 29 per cent to €48.9 million. Amortisation costs for player signings amounted to €38.7 million.

British billionaire Sir Jim Ratcliffe has said he may attempt to acquire a different “premier” club in Europe after Manchester United owners Avram and Joel Glazer told him the club was not for sale, The Times reports.

Speaking at a Financial Times Live event on Tuesday, Ratcliffe revealed he had met the two Glazer brothers this summer for talks about purchasing United but had received little encouragement.

Ratcliffe, whose Ineos petrochemicals giant already owns the Ligue 1 club Nice, has made clear that he wants to buy a leading English, or European, club.

He put in a failed late bid for Chelsea this year and declared his interest in buying United, his boyhood club, when the Glazers were understood to be looking at external investment.

“They don’t want to sell it”

“Manchester United is owned by the Glazer family, whom I have met,” Ratcliffe said. “I met Joel and Avram. They are the nicest people, I have to say, proper gentlemen. But they don’t want to sell it. It is owned by the six children.

“If it had been for sale in the summer, yes, we would probably have had a go. We can’t sit around hoping one day Manchester United will become available.”

He added: “One thing we [Ineos] don’t have . . . the most popular sport in the world. We should have an asset, a premier club.”

Everton financing questions raised as auditor BDO ‘considers walking away’

Accounting firm BDO is considering walking away from its role as auditor of Everton’s accounts, The Guardian reports.

It is understood the company has told Everton it will not be conducting the auditing work, a decision which sources said was related to Farhad Moshiri’s ownership of the Premier League team.

The firm had audited the club’s accounts for the previous two years, but the Merseyside club is now believed to be searching for a replacement.

Both Everton and Moshiri told The Guardian that BDO remained the club’s auditor. A spokesperson for Moshiri said: “Your assertions [about BDO] are based on nothing more than them refusing to discuss a client matter with a third-party journalist.

“In line with company best practice we do follow audit rotation. However BDO remain our auditors and have not resigned.”

Informally withdrawn

BDO declined to confirm it would be auditing Everton’s latest accounts, which cover the 2021/22 financial year.

However, The Guardian report claims that “two confidential sources with inside knowledge of events” have said that BDO has informally withdrawn from the audit and is not conducting work on the accounts, although Everton have not filed notification of this at Companies House.

EFL considers ending 3pm Saturday TV blackout as it makes rights for all games available from 2024/25

The English Football League (EFL) is considering ending the 3pm Saturday blackout and has made every match available for live broadcast from 2024/25.

In a statement, the EFL confirmed that it has issued a request for proposal (RFP) for interested parties in respect of its broadcast rights from the beginning of 2024/25 when the current five-year agreement with Sky Sports expires.

The EFL said that “rights for all 1,891 matches across the League, EFL Cup, EFL Trophy and all end of season Play-Off matches are available for prospective bidders.”

It added: “The League is taking a fresh and new approach to this latest rights cycle, inviting proposals that embrace innovation and offer contemporary solutions that cater for changing audience habits.”

According to The Daily Mail, the EFL is targeting Facebook, Netflix, Google, Apple and Amazon in addition to the main domestic rights holders, Sky Sports and BT Sport.

£200 million-a-year target

It is understood that the EFL board are convinced that by selling more matches they can get a better deal than the current £119 million-a-year contract with Sky, with a target of £200 million-a-year.

The current Sky deal includes 138 games-per-year, with just two Championship matches shown each weekend. Dropping the 3pm blackout would come from the EFL lobbying the FA, who in turn would have to apply to UEFA for an exemption.

Newcastle United ‘ready to meet with supporters’ to discuss renaming St James’ Park

Newcastle United officials are prepared to meet with the club’s supporters to discuss renaming St James’ Park and gauge whether they will accept a sponsor being added to the name of the stadium their team has played at since 1892.

According to The Times, under a proposed idea being considered by the Newcastle board, St James’ Park would potentially be retained but followed by the name of a sponsor.

It is understood the move is seen as contentious enough for senior figures to want to meet with supporters in a series of town hall meetings before any potential change is made.

Sports Direct controversy

Club officials are said to be keen to distance themselves from the controversy that Mike Ashley, the previous owner, caused when he added his company, Sports Direct, to the stadium name.

Instead, it is believed that they plan to see if supporters will accept the name St James’ Park, followed by “powered by” and then the name of a new sponsor.

Newcastle are keen to overhaul the commercial side of the club and want to dramatically increase revenue streams following last year’s takeover by Saudi Arabia’s Public Investment Fund (PIF).

A partnership with the New York Yankees baseball team will form part of AC Milan’s plans to enhance its international appeal under new owners the American investment firm RedBird Capital Partners, according to Italian media reports.

RedBird has a longstanding relationship with the Yankees and the Steinbrenner family, with whom it is a co-owner of the Yankees Entertainment Sports (YES) Network, the most-watched regional sports network in the US.

It is understood that a tie-up between AC Milan and the Yankees will be announced soon as last season’s Serie A champions look to expand their presence in the American market.

Value of Emirates deal set to double

The Yankees initiative will be aimed at helping boost Milan’s commercial revenues, which reached €65 million in the 2020/21 financial year, with a rise to €70 million expected for 2021/22.

The figure is due to increase even more significantly in 2022/23. According to Gazzetta dello Sport, the renewal of Milan’s deal with main sponsor Emirates, expected soon, is set to be twice the value of the current agreement, which is worth €14 million plus bonuses.

At the end of June Milan renewed their kit deal with Puma up to 2028, with the new agreement understood to be worth €30 million per season.
 

RFEF president Luis Rubiales under fire over leaked comments about Sevilla, Villarreal and Valencia

Spanish Football Federation (RFEF) president Luis Rubiales is facing fresh controversy after leaked messages revealed he made derogatory comments about Sevilla, Villarreal and Valencia.

El Confidencial, which has obtained a number of WhatsApp messages sent by Rubiales, reported that he told a family member he hoped Sevilla lost their match to Real Madrid during the game at the Bernabeu in 2020.

“Let's see if we knock off these basins [a nickname for Sevilla and the club's fans],” Rubiales is reported to have said. “I don't like them. They are the 2nd team that I like the least. In order Villarreal, Sevilla and Valencia.”

Rubiales also asked the person what they thought of Sevilla president Jose Castro. The relative replied by saying he was a “clown”, which was met with laughter by Rubiales.

Sex party allegations

The revelations follow other allegations made against Rubiales over recent weeks, including hosting sex parties with RFEF money, which he and the organisation have strenuously denied.
 

Hertha Berlin investor Lars Windhorst pursued over alleged illegal banking activities

Hertha Berlin investor Lars Windhorst is under the spotlight once again following a new report in The Financial Times about the German financier.

The newspaper has revealed that Berlin prosecutors are continuing to pursue a criminal investigation into Windhorst over potential breaches of the German banking act after a criminal complaint filed by Germany’s financial watchdog BaFin.

BaFin was concerned Windhorst may have engaged in banking activities without the required licences, a criminal act under German law carrying a potential punishment of up to five years in prison.

Windhorst said in a tweet last November that he had repaid €132.5 million in loans which he said “BaFin believes would have required a licence under the German Banking Act”, adding that “the repayment settles the pending legal disputes” with the regulator.

However, public prosecutors in Berlin told The Financial Times that “the investigation is ongoing and a conclusion of the matter is currently not yet in sight”.

A spokesperson for Windhorst told the FT that “BaFin notified us in writing that the probe against Lars Windhorst has been finished and the case has been concluded”.

Asked about the criminal investigation, which is separate from BaFin’s probe, the spokesperson said it would “also eventually be closed” as a consequence of the settlement with BaFin.

A person familiar with the investigation told the FT that this was “wishful thinking”, adding: “The criminal investigation is independent, open-minded and ongoing.”

Clandestine campaign

The latest revelations in the FT about Windhorst follow its report late last month which revealed a lawsuit had been filed alleging that he hired an Israeli private intelligence company to orchestrate a clandestine campaign aimed at ousting the then Hertha Berlin president Werner Gegenbauer.

Windhorst described the report as “nonsense” and did not accept the reliability of the filed documents. The report has contributed to a major fallout between the Hertha Berlin hierarchy and Windhorst, who has offered the club the buyback of his shares and heavily criticised its current president Kay Bernstein.

Paris Saint Germain’s owners have taken a minority stake in Portuguese club SC Braga, but insist that it is not a first step towards a multi club ownership model.

Gulf investment group Qatar Sports Investments (QSI) announced the signing of a share purchase agreement for 21.67 per cent of Braga’s share capital to the Portuguese stock exchange on Monday morning. Closing of the deal will take place in the next few months, subject to certain conditions.

“SC Braga is an exemplary Portuguese institution – with a proud history, enormous ambition and a reputation for excellence on and off the pitch,” said Nasser Al-Khelaïfi, in his role as Chairman of QSI.

“As an investor and partner, we look forward to the Club innovating, growing and developing further – across the men’s and women’s teams, on the commercial and brand side, and across all the communities and businesses it supports – as SC Braga continues its ambitious path.”

Braga, a 101 year old club based in a spa town 50 km from Portugal’s second city Porto, are currently third in the Portuguese league and competing in the Europa League.

Sources confirmed the deal gives an overall valuation of €85 million.

Sources close to Al-Khelaïfi say that the deal does not represent a step towards a multi club ownership model, but is instead an investment in “a very ambitious club” in a “significantly under-invested and under-valued” league.

They point to the fact that Portuguese football is moving towards a centralised TV rights model and the fact that the country will also likely benefit from post-2024 Champions League reform, where an extra place goes to the third placed team in country co-efficient five (Portugal is currently seven), as ways in which Braga is likely to benefit from developments in the structure of the game.

The club also has an exceptional track record in youth development. Last season, when they made the Europa League quarter finals, 15 of their first team squad originated from the club’s youth academy.

Antonio Salvador, the Braga president, said, “We believe that this is the right shareholder to accelerate our growth and expansion, helping us deliver on our amazing potential as a Club. The extraordinary experience of Qatar Sports Investments – with its global expertise, acumen and a track record of amazing results across sport and business – will bring enormous value and help us deliver on our ambitious plans. It is a great day for our Club, our fans and our city, as we look forward to many future successes for SC Braga.”
 

Saudi Arabia’s PIF commits $2.3 billion to new football sponsorships

Saudi Arabia’s Public Investment Fund (PIF) has committed more than $2 billion to new long-term football sponsorship deals this year, The Financial Times reports.

The sovereign wealth fund, which completed its takeover of Newcastle United just over a year ago, revealed in its most recent financial statement that it had entered into sponsorship agreements “with multiple football clubs amounting to SAR8.75 billion [$2.3 billion]” in the first eight months of 2022.

Most of the money is for Saudi domestic football. The deals include a new five-year SAR478 million ($127 million) agreement to sponsor the Saudi Pro League (SPL) by property developer Roshn, which PIF owns.

A series of 20-year commercial partnerships between PIF portfolio companies Qiddiya and Jeddah Central and a handful of domestic football clubs have also been agreed. The deals with SPL clubs Al-Nassr and Al-Hilal are worth SAR100 million ($27 million) per club per year.

Newcastle and Man City agreements

Beyond Saudi Arabia, the spending also includes the deals struck by Newcastle and Manchester City with Middle Eastern online shopping destination Noon.com, a joint venture between PIF and the Emirati billionaire businessman Mohamed Alabbar, the founder of Emaar Properties.

Newcastle struck a sleeve sponsorship deal with the firm, while City secured a regional sponsorship agreement.
PIF’s spending spree on football sponsorships was revealed in accounts that it shared with investors in a $2 billion bond it raised earlier this week.
 

Tottenham Hotspur and Google in talks over stadium naming rights

Tottenham Hotspur are in talks with Google about naming rights for the club’s stadium, according to The Athletic.

Chairman Daniel Levy confirmed back in 2019 that the club would be interested in securing a “naming rights deal” with the “right brand, on the right money” for the £1 billion state-of-the-art stadium, but no such agreement has yet been struck.

The venue, which Tottenham played at for the first time in April 2019, has been viewed as setting a new benchmark for sports stadia in the UK and internationally. As well as hosting the club’s home matches it stages regular NFL games and could yet welcome a permanent franchise in the future.

The stadium has also hosted rugby league’s Challenge Cup Final, heavyweight boxing world title fights and several large concerts.

Sports partnerships

Google, one of the most valuable companies in the world, has struck a number of sports partnerships in recent years. In March, the McLaren Racing Formula 1 team signed Google to its sponsorship portfolio in a multi-year deal, while the tech giant also has commercial agreements with the NBA and the MLB.

Juventus president Andrea Agnelli has outlined a new three-year plan designed to return the club to financial sustainability and address key aspects of the club’s performance by 2025, in an open letter to shareholders.

The move follows Juve’s announcement last month of a record €254.3 million loss for the 2021/22 financial year. It marked the Turin club’s fifth consecutive annual loss, after deficits of €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.

In his letter, Agnelli listed five key pillars that make up the new plan, with the first four focused on the club’s operations, which aim to:

• Rebalance the club’s finances as it recovers from the impact of the Covid-19 pandemic.
• Make the club more attractive to younger generations and become a “truly global” brand.
• Improve performances on the pitch after the men’s team endured its first trophyless season since 2010/11.
• Boost the club’s commitment to environmental, social and governance (ESG) issues by including such projects “fully in our business model.
• Inhibited by structural problems

The fifth pillar concerns the future of European football as a whole. Angelli referred to the legal case heard in the European Court of Justice in July challenging UEFA’s monopoly over the organising of European-wide club competition.

The case was heard after Juventus, along with Real Madrid and Barcelona, made it clear it still wishes to pursue plans for a European Super League.

“Whatever the outcome, Juventus has been and will always be an active player in proposing solutions to the problems of our industry, as it cares about its long-term sustainability,” Agnelli wrote.

He added: “Our industry has been inhibited by structural problems for too long, which if not addressed and solved collectively risk jeopardising the European future of the most beautiful sport in the world.

“Although many analysts and commentators agree on the current negative context, few solutions have been presented by football stakeholders. And those being discussed have almost always met with stagnating conservatism, only overcome by exogenous events, such as the Bosman ruling in the 1990s.”

Delay to 2021/22 audited accounts

Meanwhile, in a separate statement, Juventus said the release of the audited version of its accounts for 2021/22 has been delayed after Deloitte asked for more time to complete its work.

The club anticipates the firm will need a further seven days due to the “in-depth analyses necessary” in relation to the accounting investigation into capital gains involving Juventus and 11 other Italian clubs, all of whom were cleared by Italy's Federal Court following the investigation.
 

Laporta: Super League will save football from ‘financial doping’

FC Barcelona president Joan Laporta has claimed that a Super League is needed to deal with “financial doping” by state-owned clubs.

In a speech to the club’s general assembly on Sunday, Laporta also said a revised Super League format would no longer be a closed competition for founder members.

Real Madrid’s president Florentino Pérez and Juventus chairman Andrea Agnelli last week also commented on the need for a Super League.

Laporta told the general assembly: “The financial situation of football clubs, which we must remember are the only ones who assume financial risks and costs, is very worrying. We have had to resort to the financial levers that have been necessary to sustain our future. That is why we have supported the creation of the Super League from the beginning.

“We still firmly believe that it is the solution that football needs, especially football in the European Union which, unfortunately, is not having the best of times, immersed in a negative trend in terms of television audiences, stadium attendance and the difficulty of attracting new [fans], especially among young people, who are seduced by other entertainment.

“In addition, Barça’s financial situation has been aggravated in recent years by another problem that no one has been able to put a stop to until now, the financial doping of certain competing clubs.

“This issue will indeed be addressed by the Super League and this is one of the main reasons why we support the project.”
 

UEFA plans to cut Euro 2028 qualifying groups due to lack of TV interest

UEFA is planning to reduce the size of qualifying groups for the Euros because of declining interest from broadcasters, The Times reports.

Under a proposed new format for Euro 2028 onwards, there would be groups of four or five countries, instead of five or six. Teams would play only six qualifiers, but the format would still give the smaller nations access to some matches against the bigger countries.

The proposal was aired at a meeting of UEFA’s member associations in Frankfurt on Saturday ahead of Sunday’s draw for the Euro 2024 qualifying groups, which will still use the existing format.

A source who was in the meeting told The Times: “The broadcasters are telling UEFA and national associations that there are too many qualifying matches that are not interesting, and it has been a struggle to sell the rights for the bigger countries for Euro 2024.”

Nations League expansion

As part of the planned changes, UEFA’s Nations League competition would be altered to accommodate extra games between countries of a similar ranking, potentially meaning more knockout games.

An idea to expand the Euros to 32 teams instead of 24 had already been dropped because it was feared that it would make qualifying almost meaningless for the bigger nations.
 

UEFA-EC agreement renewal challenged by European Democratic Party secretary general

A prominent MEP has questioned the new cooperation agreement between UEFA and the European Commission announced last week.

The renewal of the agreement to 2025 was signed by UEFA president Aleksander Čeferin and EC vice-president Margaritis Schinas in Brussels on Wednesday, and underlines the stance of both bodies against the European Super League.

However, it has now emerged that Sandro Gozi, secretary general of the European Democratic Party, has registered two questions to be discussed in the plenary of the European Union in relation to the new agreement.

The first refers to the timing of last week’s announcement by UEFA and the EC, with Gozi noting that the new agreement was adopted in June, after the previous agreement expired at the end of 2021.

The question reads: “Why was the new arrangement between EC and UEFA adopted only in June 2022, and not immediately after the expiration of the previous arrangement? Why was the arrangement signed only on 6 October, four months after its adoption?”

European Court of Justice case

The second question refers to the legal case heard in the European Court of Justice (CJEU) in July challenging UEFA’s monopoly over the organising of European-wide club competition following the aborted launch of a European Super League last April.

The question reads: “Why did the Commission deem appropriate to sign a new arrangement while a proceeding is still pending before the CJEU? Did the Commission contemplate the possibility that this agreement could prejudice the independence and impartiality it should have as guardian of the treaties intervening in the preliminary ruling proceeding?”

A final decision on the case heard at the CJEU is expected in late 2022 or early next year.

FC Barcelona economic vice president Eduard Romeu has admitted that the club will need to continue selling some of its assets over the next two years if it is to maintain profitability.

Speaking after Barça confirmed it had closed the 2021/22 financial year with a profit of €98 million, Romeu confirmed that the club will need to pursue further deals with external investors, as well as more player sales, to address the strong imbalance between income and expenses.

In comments reported by Spanish media, he said: "If we don't do things, under our current structure, we will lose €200 million a year.” He added that the club is also planning to significantly reduce its wage bill as part of efforts to achieve financial sustainability by 2024/25.

First profit in three years

Barça‘s profit for the 2021/22 financial year marked the first time it had finished in the black in three years. Turnover for 2021/22 reached €1.017 billion. The club said that for 2022/23 it has forecast turnover of €1.452 billion and a profit of €275 million.

The turnaround in fortunes has come after the Catalan giants sold off 25 per cent of its domestic broadcast rights over the next 25 years to private equity firm Sixth Street, and two 24.5 per cent chunks of its Barça Studios subsidiary, to Socios and Orpheus Media.

Barcelona stated that its initial sale of 10 per cent of its LaLiga TV rights earned €266 million of extra income for 2021/22, while the sale of the other 15 per cent of those rights has brought in €400 million for 2022/23. It added that the sale in total of 49 per cent of Barça Studios has generated a further €200 million.

Recovery from pandemic

Barcelona said that aside from the TV rights deal with Sixth Street, it earned €750 million euros in other operating income in 2021/22, up €119 million on the previous year, which the club said was “mainly thanks to the gradual recovery from the effects of the Covid-19 pandemic.”

However, operating expenses were €856 million, which Barça stated was €72 million above the budgeted amount, “due in part to the effort made during the winter transfer window to strengthen the first team squad.”

The wage bill for playing staff was €518 million, €99 million below the payroll of the previous financial year.

The club’s net debt declined to €608 million as at 30th June 2022, down from €682 million on the corresponding date last year.
 

Bill Foley reaches ‘verbal agreement’ to buy Bournemouth for £120 million

American businessman Bill Foley is close to completing a £120 million deal to buy AFC Bournemouth, according to The Athletic.

It is understood that Foley has a verbal agreement in place to acquire the south coast club from current owner Maxim Denim, and the deal is expected to be completed in the coming days.

Foley flew over to Bournemouth earlier this week and is expected to attend the team’s home game against Leicester City on Saturday, which will be the first time he has been to a Bournemouth game. The American also watched the team’s training session on Thursday.

Net worth of $1 billion

Foley, a 77-year-old businessman with an estimated net worth of just over $1 billion, is chairman of Fidelity National Financial, one of the largest insurance companies in the US, and is the owner of NHL franchise the Vegas Golden Knights.
 

UEFA and European Commission underline joint opposition to European Super League with new cooperation agreement

UEFA and the European Commission have extended their cooperation agreement to 2025 and reiterated their joint stance against the European Super League.

The renewal of the EC-UEFA Arrangement for Cooperation, first agreed in 2014, was signed by UEFA president Aleksander Čeferin and EC vice-president Margaritis Schinas in Brussels on Wednesday.

In a statement, UEFA said the accord strengthens their joint commitment to “promoting positive social change and defending the European sports model.”

It added that the partnership “will take collaboration between the two organisations to a new level by focusing on critical European Union priorities such as climate action, equality for all and social inclusion.”

Existing structure

On the joint opposition to plans for a European Super League, UEFA stated: “By endorsing the existing pyramid structure of European football, based on open competition, including promotion and relegation, the agreement also reinforces UEFA’s and the EC’s opposition to the so-called ‘European super league’ proposal and the pure commercial entertainment model.

“This embodies the direction of EU sports policy given in recent landmark resolutions by the European Parliament and EU member states (Council of the EU).”
 

Bruin Capital set to join race for financing of Serie A media business

Another American investment fund is preparing to enter the race for a financing deal with Serie A for its new media business, with Bruin Capital ready to put forward a proposal, Milano Finanza reports.

The Italian league is understood to have received an expression of interest on Saturday from a consortium of three private equity firms – Carlyle, Apax and Three Hills Capital Partners – while subsequently another investment fund, Searchlight Capital, has also come forward.

Now it is believed that New York-based Bruin, which specialises in investments in media, entertainment and sports, is also considering entering the Serie A tender, although its interest has not yet been formalised.

Long-term loan

According to Milano Finanza, Bruin’s proposal would be different to those presented by the other firms, with the company founded by George Pyne willing to finance the Serie A media company with a long-term loan.

It would therefore be a debt transaction rather than the acquisition of a direct shareholding in the new company, as proposed by the other contenders.

The idea is that under Bruin’s proposal resources would support the setting up of the new media business without significantly changing the balance of governance within the league.
 

Hertha Berlin slams Lars Windhorst claims as "inaccurate”

Hertha Berlin has responded to a statement released by club investor Lars Windhorst earlier this week in which he offered the club the buyback of his shares and heavily criticised its president Kay Bernstein.

The dispute has been sparked by a report in The Financial Times last week which revealed a lawsuit had been filed alleging that Windhorst hired an Israeli private intelligence company to orchestrate a clandestine campaign aimed at ousting the then Hertha Berlin president Werner Gegenbauer.

Windhorst described the report as “nonsense” and did not accept the reliability of the filed documents. In his statement, which was posted on Facebook on Wednesday, Windhorst said: “Instead of working with us on the clarification, president Bernstein has decided to join the pre-convictions without examining the evidence.”

However, Hertha Berlin has defended itself against this claim and sought to clarify the situation via a statement of its own “After the publication of the article in The Financial Times and subsequent consultation on Friday (30.09.), the committees of Hertha BSC e.V. commissioned a law firm to examine the facts,” the statement reads.

“The committees of Hertha BSC e.V. have also asked Lars Windhorst for a statement. This was received on Monday and contained Tennor's wish for a personal meeting with the President and the Chairman of the Supervisory Board of Hertha BSC e.V.

“The participants fulfilled this wish on Wednesday morning in a one-hour conversation. In addition, a further meeting was agreed for next Monday. Lars Windhorst's Facebook post this afternoon does not correspond to what has been discussed and agreed. The other allegations made therein are incorrect.”

Support in search for buyers

The statement added that “Hertha BSC, Kay Bernstein or any other representative of the club have at no time made any pre-judgmental statements to Lars Windhorst or Tennor in public.”

Hertha concluded by saying that it “offers Tennor support in the search for buyers in an orderly investor process in the best interest of Hertha BSC and Tennor's investors and creditors.”

The nine clubs that pulled out of the European Super League project in April 2021 could face penalties of €300 million if they try and divest their shareholdings in companies related to the ESL.

In August Off The Pitch reported how the nine clubs had stonewalled requests about whether they had given up their stakes in companies related to the ESL project and how they had financially benefitted from suspended fines due to litigation by those companies.

The Super League company is currently taking on UEFA in the European Court of Justice over its regulatory and commercial monopoly.

“I honestly believe this, certainly the English, if they could they would just go back and say ‘We are no longer shareholders’ and rip it up and walk away, they would,” a high level source in European club football told Off The Pitch.

“It’s not really realistic to go back to the clubs and say give back your shareholdings and pay 300 million for the privilege.”

Tight legal structure

The source, who spoken under condition of anonymity and has an intimate knowledge of the ongoing situation between the clubs and governing bodies, said that the ESL companies had “a very strange and tight legal structure” that made it made it difficult for clubs to withdraw completely.

The source described “a happy medium” where the shareholding by clubs in a company that they have denounced persists but “they're not doing anything with that shareholding.”

Lars Windhorst offers Hertha Berlin buyback of his shares as fallout escalates

Hertha Berlin investor Lars Windhorst has offered the club the buyback of his shares as the German financier’s fallout with the club’s hierarchy continues to escalate.

The development follows a report in The Financial Times last week which revealed a lawsuit had been filed alleging that Windhorst hired an Israeli private intelligence company to orchestrate a clandestine campaign aimed at ousting the then Hertha Berlin president Werner Gegenbauer.

Windhorst described the report as “nonsense” and did not accept the reliability of the filed documents. According to Kicker, Windhorst is now in dispute with the club over the processing and handling of the alleged espionage affair.

A statement from Windhorst's company Tennor Holding, seen by Kicker, reads: "After careful consideration and evaluation of the last three months, we unfortunately determine that there will be no basis and no perspective for a successful economic cooperation between the Tennor Group and Hertha BSC.

"All discussions with the new president Kay Bernstein have shown us that there is a big difference between the statements and the subsequent behaviour of the president.”

The statement from Tennor adds: "Kay Bernstein is clearly not interested in a trusting and serious cooperation. This is also shown by the current case of the debate about an alleged commissioning of the Israeli agency by Tennor. Instead of working with us on the clarification, president Bernstein has decided to join the pre-convictions without examining the evidence.”

€374 million investment

Windhorst joined Hertha Berlin as a shareholder in the summer of 2019 and acquired a total of 64.7 per cent of the shares in the club’s professional department for €374 million. The expectation is that it would be almost impossible for Hertha to raise anything close to this sum.

The search for a new investor who could acquire Windhorst's shares, which according to Kicker has been pursued for several months, has reportedly not led to a potential deal. However, it is also understood that Windhorst would be prepared to sell his shares for a sum significantly below the original purchase price.

Everton ‘in talks with George Soros’s nephew’ about takeover bid

Further speculation has emerged about the future ownership of Everton, with Bloomberg reporting that the club has attracted interest in a takeover from a US special purpose acquisition company (SPAC) co-led by George Soros’s nephew.

Sources said that LAMF Global Ventures Corp. I has held preliminary talks with the Premier League club about a deal, adding that deliberations are ongoing and there’s no certainty they’ll result in a transaction.

It is understood that LAMF could also decide to pursue a deal for another European football club.

A spokesman for Everton declined to comment, while representatives for Los Angeles-based LAMF couldn’t immediately be reached for comment by Bloomberg.

Keith Harris a senior adviser

LAMF is led by Jeffrey Soros and Simon Horsman, both Los Angeles-based producers. It counts veteran football dealmaker and former Everton director Keith Harris as a senior adviser, securities filings show. It raised $253 million in a November 2021 initial public offering.

Media reports last week indicated that Everton owner Farhad Moshiri had held further talks with American businessman Maciek Kaminski about investing in the club and its new stadium.

777 Partners expands multi-club portfolio with stake in Melbourne Victory

American investment firm 777 Partners has acquired a stake in Australian A-League club Melbourne Victory, further expanding its array of investments in football clubs across the world.

According to Sydney-based newspaper The Daily Telegraph, the deal is worth up to AU$50 million, with Melbourne Victory set to become the most valuable privately-owned sports club in Australia.

In a statement, Melbourne Victory declared that the agreement amounts to “one of the biggest investment deals into a single sports team in Australian history.”

Melbourne Victory chairman Anthony Di Pietro said: “With Don Dransfield, CEO of 777 Football Group, joining the board of Melbourne Victory, the club will have direct access to world-class data and analytics professionals, advanced player development techniques and global commercial opportunities.”

New sponsorship deal

Earlier this week, Melbourne Victory announced that Bonza, a new Australian low-cost airline owned by 777 Partners, would be its new main sponsor in a four-year deal starting with the upcoming 2022/23 season.

Over the past 12 months, 777 Partners has finalised deals for controlling stakes in Belgian Pro League club Standard de Liége, Brazilian Série B side Vasco da Gama, Italian Serie B club Genoa, and the French lower-tier outfit Red Star FC. It also has a minority investment in Sevilla of LaLiga which it has been trying to expand into full ownership of the club.

The Athletic has reported that Saudi Arabia’s Public Investment Fund (PIF) was offered a 30 per cent stake in a Premier League club – believed to be Manchester United – for £700 million before buying Newcastle United.

Yasir Al-Rumayyan, the governor of PIF and Newcastle’s chairman, revealed that the North East club “wasn’t the first offer we got regarding a football team. We looked in Italy, France and the UK as well.”

Reports in early 2019 suggested Crown Prince Mohammed Bin Salman, who is chairman of PIF, was interested in a takeover of Manchester United. He denied any deal had materialised.

Al-Rumayyan didn’t name the club in which PIF was offered a stake, but said: “For example, in the UK there was a team that approached us on the basis that we take 30 per cent of the ownership, and we don’t interfere at all in terms of managing the club, for £700 million.”

Newcastle takeover

He added: “Then we bought Newcastle, who offered us 100 per cent of the ownership. But Amanda Staveley and her husband who got us the opportunity told us, ‘We like it so much, we would like to be with you’. That was perfect.

“Then came the Reuben family who are one of the biggest property investors, saying that, ‘We would like to come with you’, and these are one of the biggest investors in Newcastle. I said, ‘Perfect! Tell them to come’. So now they (Amanda, her husband and Reubens) have a skin in the game.

“We bought the whole team for £350 million, instead of only having 30 per cent in another team for £700 million.”
 

Ukraine set to join Spain-Portugal 2030 World Cup bid

Ukraine is set to be part of Spain and Portugal’s joint bid to host the 2030 World Cup, with a proposal put forward for the war-torn country to host one of the groups in the tournament, The Times reports.

It is understood the new partnership is due to be officially announced by football executives from Spain and Portugal during a news conference at UEFA’s headquarters on Wednesday.

The move is said to have been sanctioned by Ukraine’s president, Volodymyr Zelensky, and the national governments of Spain and Portugal, and harnesses the idea that football can restore hope and peace.

Although security assurances would be needed, the expectation is that, by 2030, Russia’s invasion will have been over for some time and the rebuilding of the country will be fully under way.

Powerful vote-winner

Ukraine’s involvement is being viewed as a potentially powerful vote-winner among FIFA’s 211 member associations and a way of countering moves by Saudi Arabia to put forward a joint bid with Egypt and Greece for 2030.

UEFA believes that the World Cup should be played exclusively in Europe in 2030. The tournament is being held in Qatar this year and in the United States, Canada and Mexico in 2026.

Paris joins other French cities in World Cup screenings boycott

Paris has joined several other French cities in announcing it will not show World Cup matches in public places or set up fan zones during the tournament, The Guardian reports.

The boycott is in protest at human rights and environmental abuses in the host nation, Qatar.
Local authorities in Marseille, Lille, Bordeaux, Reims, Nancy, Rodez and the capital have all announced they will not install giant TV screens as in the past to relay matches.

The moves to boycott the competition come after what has been described as a “last minute crisis of conscience” by the public authorities.

“No question” of fan zones

In Paris, Pierre Rabadan, a former French rugby international and the deputy in charge of sport at city hall, said there was “no question” of installing fan zones. 

However, it was noted that this is despite the city’s football team, Paris Saint-Germain, being owned by Tamim bin Hamad al-Thani, the Emir of Qatar since 2011.

Real Madrid president Florentino Pérez has sought to reignite support for a European Super League, claiming once again that it would cure football from numerous ills, in particular a declining interest in the game among young people.

Speaking at the club’s AGM, he said: “Our beloved sport is sick, especially in Europe, and, of course, in Spain. Football is losing its position as the world’s leading global sport. There is abundant data and objective parameters that confirm this situation.

“The most worrying fact is that young people are becoming less and less interested in football. The current competitions, as they are designed today, do not attract spectators’ interest, except in the final stages.”

Pérez noted that Real had only faced Liverpool nine times in 67 years of European competition, and also that the media rights for the Champions League and the five major European leagues had been surpassed “for the first time in history” by the NFL.

“We believe that midweek European competitions should change to be able to offer fans matches throughout the year, at the highest level, between the strongest teams and with the best players in the world competing against each other,” he said.

Pérez’s comments were met with a furious reaction from several quarters, with LaLiga president Javier Tebas posting on Twitter: “Without knowing, Pérez is saying things that could kill the rest of the clubs, including Real Madrid.”

Ceferin dismisses project again

Meanwhile, UEFA president Aleksander Ceferin has again dismissed suggestions that a Super League might one day be set up. In an interview with Slovenian outlet Sportni SOS, he said: “I doubt that in 10 or 15 years such ideas will reappear.

“We have three club presidents who continue to claim something for their egos, but on the other hand, they were the first to sign up for the Champions League for fear of being kicked out. The English will definitely not join any more, and I don't see a serious competition without the English clubs, who are probably the most important in European football."

Real Madrid, along with Barcelona and Juventus, are currently involved in a legal case against UEFA and FIFA in the European Court of Justice aimed at reviving the European Super League plans.
 

Man City owner could be investigated for ‘helping Abramovich and other Russians evade sanctions’

Manchester City owner Sheikh Mansour could face an investigation by the British foreign office for allegedly helping Roman Abramovich and other high-profile Russians evade sanctions following their country’s invasion of Ukraine, Middle East Eye and The Daily Telegraph have reported.

Sheikh Mansour, who is the deputy prime minister of the United Arab Emirates, has been accused of being "central" to the flow of sanctioned money to the UAE, and allowing his country to become a home for superyachts and private jets belonging to oligarchs loyal to Russia president Vladimir Putin.

Among assets to have been stationed in the UAE is Abramovich's Boeing 787 Dreamliner, thought to be worth around $350 million – one of several private jets belonging to Russian oligarchs said to have been parked in the country.

A legal submission outlining the allegations has been presented to the British foreign secretary James Cleverly by international criminal lawyers Rhys Davies and Ben Keith, at the instigation of a Ukrainian activist.

“Destination of choice”

The lawyers said the UAE "is now widely perceived to be the destination of choice for sanctioned supporters of Putin", adding that reports suggest Russian billionaires are "increasingly approaching Sheikh Mansour's office" to help shelter their ill-gotten gains.

Sheikh Mansour did not respond to a request to comment by The Daily Telegraph, while the Foreign, Commonwealth and Development Office said it would not comment on specific cases.

Bundesliga investment options on the table after talks with private equity firms

The Bundesliga is moving closer to a potential private equity deal after reviving talks with buyout groups over a multibillion-euro investment, The Financial Times reports.

It is understood that executives from the DFL, which runs the Bundesliga, have held preliminary talks with private equity firms including Advent, Blackstone, Bridgepoint, CVC and KKR over the past three weeks.

One option under discussion is to create an entity that would control the Bundesliga’s media and commercial rights, valuing them at up to €18 billion, and then raise as much as €4.5 billion by selling a 25 per cent stake to external investors.

Any agreement would then be presented to the clubs for a vote, likely early next year.

Partial sale

Last year, the Bundesliga explored bringing in €300 million through the partial sale of the league’s overseas TV rights, but its 36 member clubs chose not to pursue it.

However, one person close to the current discussions told the FT that the talks were now “coming from a different angle”.

While last year clubs were seeking funds to repair the financial damage from the pandemic, now many in German football see new investment as key to growing the game long-term.
 

Swiss football clubs asked to return CHF4 million Covid aid money

A number of Swiss football clubs that received extra funds for Covid-related losses during the pandemic must reimburse CHF4 million to the federal authorities, swissinfo.ch reports.

During the crisis, the federal authorities supported Swiss sport with total funds of CHF500 million "to avoid a weakening of the structures of Swiss sport.”

However, the Federal Office of Sport said this summer that top football clubs had received around CHF10 million too much in state aid during the pandemic – CHF6 million for 2020 and around CHF4 million for 2021.

The sports office has now confirmed that it is asking the football clubs to reimburse the CHF4 million for 2021.

In a statement, it said: “Due to the extreme complexity of the situation, it was decided to carry out an overall analysis of the 2020 stabilisation package and to waive a request for reimbursement. On the other hand, the situation is different for the year 2021.

“There is no room for manoeuvre for 2021, because the mechanisms and the problems encountered the previous year were known.”

Nine clubs involved

The names of the clubs have not been made public, but Swiss public radio, SRF, said in July that nine clubs from the Super League and the Challenge League – the two highest Swiss football leagues – are involved.

According to the report, the clubs received money from two state aid programmes for the same losses in their amateur, junior and women’s teams.

There is no suggestion of any wrongdoing. The CHF10 million corresponds to a quarter of all state aid for professional football clubs, according to SRF.