By Prof Dr Ian Blackshaw
It has been announced that a 10% stake in Manchester City FC, the current English Premier League Champions, has been sold by the Abu Dhabi Royal Family to the American Investment Group, Silver Lake Partners, for US$500 million.
This deal represents the third largest equity investment in English football to date.
Also, Manchester City has just announced record earnings of US$689 million, making it the fifth highest revenue-generating team in football.
However, to some extent, a financial shadow hangs over this lucrative deal, in that Manchester City are facing new allegations by UEFA, the European Governing Body of Football, that they are in breach of the Financial Fair Play Rules. See previous post on this subject by Prof Dr Ian Blackshaw of 14 November 2018 on the GSLTR website
If found guilty, Manchester City could face a ban of at least a year from playing in UEFA European Football Competitions, including the lucrative Champions League, one of the few prestigious football tournaments that Manchester City has not yet won.
A decision on their fate is expected in December.
With all this money circulating in football, and with deals like the Manchester City one, it seems that the ‘beautiful game’ is being played as much in the boardroom as on the pitch itself!
Prof Dr Ian Blackshaw may be contacted by e-mail at ‘firstname.lastname@example.org’