By Jonathan Easton
LaLiga’s general assembly has voted in favour of a deal to sell 10 per cent of the league to CVC Capital partners for €2.7 billion(US$3.16billion).
Announced last week, the ‘Boost LaLiga’ deal values LaLiga at €24.25 billion, and had previously been approved unanimously today by the league’s Executive Committee (Comisión Delegada).
At an extraordinary general meeting, 38 of the 42 clubs in the Spanish league system voted in favour of the plan with 32 signatures required. The clubs that approved the plan will receive up to €2.68 billion, and have pledged to allocate at least 70 per cent of that total to the development of infrastructure and technical innovation.
President of LaLiga, Javier Tebas said: “We are convinced that Boost LaLiga is the answer to the challenges we have to face in the medium and long term. It is a strategic agreement that will provide our clubs with greater capacity, will transform their management model and boost the appeal of our competition. It is the boost we need to turn LaLiga into a global digital entertainment company that has the most attractive football competition in the world.”
The plan however has not been met with universal praise. The two leading clubs in the country – Real Madrid and Barcelona – have publicly denounced the sale, arguing that the terms of the deal are not favourable to them. Real Madrid has gone so far as to launch legal and civil action against LaLiga president Tebas and CVC CEO Javier de Jaime Guijarro.“We are pleased to present to investors and partners the outstanding financial and operational results of the first half of 2021. We are grateful to our customers for choosing Digi as their telecommunications service provider and for benefiting from our converged service offerings. Our goal is to continue to provide quality services at affordable prices and to invest in the development of fixed and mobile electronic communications infrastructure. We appreciate the professionalism of our teams and their perseverance in ensuring the continuity of services even in times of challenges,” said CEO, Serghei Bulgac. Critics of the ruling will hope that the lost votes will lead to further instability in the controversial far-right government and a potential vote of no confidence ahead of the next elections scheduled for 2023. In the event that a new government is formed, rolling back this new law would be high up on the agenda.
