FIFA to sell minority stakes in World Cup to investors amid UEFA and EU backlash
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2 months · 10 summary articles
FIFA announced on Tuesday plans to sell stakes in future World Cups and other events to private investors, aiming to maximize revenue for the sport. The proposal involves creating a $20 billion subsidiary called FIFA Forward Enterprise (FFE) to run the World Cup and other events. FIFA would retain the majority share, but minority stakes would be sold to external investors to raise up to $4.2 billion.
The plan has faced strong opposition from UEFA, the European football governing body. UEFA released a statement saying, "This crosses a line that football’s governing institutions should never cross. The soul and governance of football are not assets to trade — especially with zero transparency as to who gains financially."
The EU has also expressed concerns about FIFA's move. EU sports Commissioner Glenn Micallef stated, "Commercial success should strengthen football, not consume it. Hands off our game." The involvement of a venture capital firm linked to Donald Trump's son-in-law, Jared Kushner, has added to the scrutiny.
FIFA president Gianni Infantino has written to all 211 member associations, offering each $40 million if they back his controversial plan. The deadline for the member associations to give their approval is September 19. According to reports, Infantino has promised a one-off payment of $40 million to each association if they support the plan.
The proposal has sparked widespread criticism from football governing bodies worldwide. UEFA was among the first organizations to condemn the proposal, warning against turning the sport into a commercial asset. UEFA vice-president Gabriele Gravina criticized FIFA's proposal, stating, "Football cannot be reduced to a private affair."
The plan has also drawn criticism from the Dutch football association, KNVB, and the Norwegian football association, NFF. The KNVB expressed concern about the plan, calling it a "very worrying development."
The controversy surrounding FIFA's plan continues to grow, with many questioning the transparency and implications of the proposal. The plan requires majority support from FIFA's member countries, and the deadline for their decision is fast approaching.
In response to the backlash, FIFA has emphasized that the plan is intended to support the development of football globally. However, critics argue that the plan lacks transparency and could lead to further commercialization of the sport.
The plan has also raised concerns about the potential influence of private investors on the governance of football. Some fear that the involvement of private investors could lead to decisions being made based on financial interests rather than the best interests of the sport.
The debate over FIFA's plan is expected to continue in the coming weeks as the deadline for approval approaches. The outcome of this debate could have significant implications for the future of football governance and the commercialization of the sport.
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Articles
FIFA sets deadline for investor deal According to various reports, FIFA, the world football governing body, has set a deadline for approval of a planned investor deal and, in return, has promised a one-off payment. +Get the most important news from Switzerland in your inbox This has been reported by several British media outlets, which quote verbatim from the five-page letter from FIFA President Gianni Infantino. The deadline for the 211 member associations to give their approval is reportedly September 19. The letter is reported to state: "Should you wish to proceed this $10 billion package will become available as of January 1, 2027, ushering in the next phase of our journey together." This would amount to US$40 million per association annually – four times as much as at present. "Should you wish to retain the status quo and reject this proposal we still have our planned expansion of the Forward programme [development money] of $2.7 billion as previously presented," Infantino is reported to have written to the ...
swissinfo · 2 months ago
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der standard · 2 months ago
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bluesky_AFP English · 2 months ago
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euronews · 2 months ago
FIFAs plan to sell World Cup to private investors met with shock and anger by the world of football Gianni Infantino has written to all 211 member associations, offering each $40 million (€35 million) if they back his controversial plan to sell stakes in the governing bodys major competitions.
euronews · 2 months ago
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