Real Madrid could sell up to 10 per cent of the club's shares
At the annual general meeting, chairman Florentino Perez proposed the creation of a subsidiary in which shareholders retain control, allowing a minority stake to long-term investors
Real Madrid opens up the possibility of an outside investor acquiring a minority stake in the football club. A move that would also help the Spanish football giant better determine the value placed on the club by the market. This was stated on Sunday yesterday by the president of the Blancos, Florentino Pérez.
The Plan
The football club - the most titled in Europe - will create a new unit to host 'a minority shareholding of 5 per cent or at most 10 per cent of the club's shares, to know its real value,' Pérez said during the annual general meeting. This is the clearest and most convincing way to do it,' adding that the alternative would be to go public, something the club does not wish to do.
The sale of a stake would take place at the same time as the plan to convert members into shareholders, as proposed by Pérez a year ago. Unlike most major European clubs, Real Madrid - and arch-rival FC Barcelona - operate as non-profit organisations owned by thousands of paying fans. This structure prevents private investors from acquiring shares, as members do not own tradable shares. The club will hold an extraordinary meeting to vote on the changes.
Turning fans into shareholders would allow them to become 'the real owners of the club', Pérez said in 2024, adding that such a move could distribute assets worth more than EUR 10 billion (USD 11.5 billion) among them.
The previous
The potential entry of outside investors would take place in the context of a boom in sports finance, with asset managers increasingly interested in the football sector. Earlier this month, Atlético de Madrid , Real Madrid's historic city rival, sold a majority stake to Apollo Global Management Inc. in a deal that valued the club at 2.2 billion euros.
Other private equity firms have also invested in football leagues and teams. In Spain, CVC Capital Partners Plc concluded a deal in 2021 to put money into the Spanish top league, LaLiga, in exchange for a share of the broadcasting rights. Real Madrid and Barcelona opposed the deal.
