Spanish football trio push alternative plan for financial solution

ANKARA

The presidents of Barcelona, Real Madrid and Athletic Bilbao wrote to other Spanish La Liga clubs Friday to present an alternative plan to the league organizers' deal with UK-based private investment firm, CVC Capital Partners.

The clubs said the Spanish football industry is facing financial difficulties and needs a sustainable solution for the future as the coronavirus pandemic had huge negative effects on revenues.

"It is from the standpoint of our centenary commitment to Spanish football and its viability that in August this year we expressed our deepest opposition to the deal proposed by LaLiga with the private equity fund CVC, the so-called ‘LaLiga Impulse Project’, which has now been reformulated in terms that are equally ruinous for Spanish football and, furthermore, not free from serious irregularities (both in form and in substance)," said Real Madrid.

The Whites said the CVC is a financial investor and it "cannot be considered a strategic partner of Spanish football."

Barcelona, Real Madrid and Athletic Bilbao each said their Sustainable Project would be "15 times more economical" as it would cost €900 million ($1 billion) to Spanish clubs for 25 years, rather than 50.

However, the clubs added that the LaLiga Impulse Project with CVC would cost them €13.1 billion ($14.8 billion) over 50 years.

So the Sustainable Project would save clubs €12.2 billion ($13.8 billion).

In August, La Liga agreed with CVC to a €2.7 billion deal (more than $3 billion) as the private equity firm would acquire a 10% stake in the Spanish league.

The 39 La Liga clubs in the first and second divisions, except Barcelona, Real Madrid and Athletic Bilbao, supported the proposal for a cash injection.

Then Real Madrid said on its website that it would start a judicial proceeding against La Liga and president Javier Tebas amid the agreement with CVC.

"In addition, the (Real Madrid) Board of Directors has resolved to take any legal action it considers appropriate to annul and render ineffective any possible resolutions adopted by the LaLiga Assembly, due to be held on 12 August 2021, in relation to the agreement between LaLiga and the CVC Fund," the Whites said previously.