La Liga, Spain’s top flight football league, is selling a 10 per cent stake to private equity firm, CVC Capital Partners, for €2.7 billion to help finance its long-term growth plans.
The deal values La Liga at around €24.2 billion and, if approved, will fund structural improvements while also offsetting some of the immediate impact from the pandemic.
“This agreement aims to lead the transformation that the entertainment world is undergoing and to maximise all growth opportunities for clubs,” said La Liga in a statement. Some 90 per cent of the funds raised will be channeled directly to clubs, which must use them to finance investment programmes agreed upon with La Liga.
The stake sale still requires approval from the league’s executive committee and clubs.
The private equity firm, as part of a consortium, entered talks to buy a stake in the media business of Italy’s top flight football league, Serie A, last year. The deal fell through following objections from some clubs.