State Investment Fund Considers Buying Another Major Football Club in Europe
Bloomberg reported that the State Investment Fund is considering buying another major football club in Europe amid an ambitious and huge plan to invest in sports from the fund.
Expansion Plans in European Football
Sources said the fund is considering buying another team that plays in one of Europe’s top five leagues. The plan comes less than a week after UEFA announced it would allow a group of clubs with the same owner to compete in elite competition.
UEFA’s Changing Stance on Multi-Club Ownership
The European Football Association has allowed Brighton & Hove Albion, England’s Aston Villa, and France’s Toulouse to play in their respective leagues next season, despite their owners having stakes in other clubs that will compete in federation championships. The decision came after the owners of these clubs agreed to take steps to ensure they operate independently. This is a notable shift in the management of UEFA’s multi-club model. For many years, teams with the same owner were banned from playing against each other in competitions such as the Champions League and Europa League in order to maintain the integrity of their respective top leagues.
Changing Landscape of Football Ownership
But the football ownership landscape has changed dramatically as wealthy investors from the US and the Middle East have sought to expand their presence in the world’s most popular sport. Football is now dominated by multi-club ownership, with supporters pointing to the opportunity to cut costs by sharing data and players between teams and securing better business deals.
PIF’s Involvement in Football
PIF led the 2021 takeover of over £300m (US$391m) of Newcastle United, in which Jamie Robben and Amanda Staveley of the UK participated as minority investors. Since then, the owners have invested heavily in the Premier League club, and Newcastle United will take part in the Champions League for the first time in 20 years next season. Newcastle United’s owners are looking into potential targets, including Belgian club KV Oostende, according to sources, but are opting to wait for UEFA’s position on co-ownership to be clarified before proceeding with any new takeover.
