Newcastle United hold talks with investment group about multi-club ownership – Report
The Newcastle United owners have held talks with an investment group.
An exclusive from Bloomberg reports that the talks have taken place with 777 Partners LLC.
Bloomberg saying that 777 Partners LLC are considering raising new capital to back its portfolio of football clubs and has held talks with the Newcastle United owners about making a potential investment, people with knowledge of the matter said.
The report saying they have trusted sources with knowledge of the talks and that this US investment group have had exploratory discussions with at least five different parties about raising debt and equity.
Bloomberg saying that one of these five parties was the Newcastle United owners.
The report says that talks are in the early stages but this could be the start of Newcastle United moving into multi-club ownership, with interests in various clubs in leagues around the globe.
Bloomberg stating about multi-club ownership 17 March 2023:
‘Proponents of this approach to ownership often point to the long-term benefits of cost synergies, the sharing of talented players and potential to strike more lucrative sponsorship deals. Fan groups and other critics, meanwhile, have expressed concerns that it stifles competition and creates feeder teams with no real prospect of success.
Other multiclub owners include Paul Conway’s Pacific Media Group, John Textor’s Eagle Football Holdings LLC and Abu Dhabi’s City Football Group Ltd., the owner of Premier League champion Manchester City FC.’
The Financial Times invited Amanda Staveley to be one of the key speakers at their Business of Football Summit held in Mayfair, London, at the start of this month:
Amanda Staveley on Thursday 2 March 2023 confirming that the Newcastle United owners are considering moving to a multi-club approach:
“We are looking at everything in terms of how we can grow Newcastle United, our brand, our club.
“We have looked at multi-club but you have to make sure that you have the right fit.
“We also have to make sure we choose your territory correctly, get the right chemistry.
“Critical you set out what your goals are.”
Growing commercial revenue
“We are doing everything we can to grow our commercial revenue with regards to Financial Fair Play (FFP).
“We inherited very difficult contracts with the likes of (shirt sponsor) FUN88 (NUFC owners have bought out this contract which had years to run) allowing them to bring in a new shirt sponsor this coming summer) which were very much one way.
“We were limited as to how we could drive commercial revenues.
“We have had to be prudent, because otherwise we would have hit our FFP buffers, far quicker than other clubs.
“We have an FFP budget and keep to that.
“We can’t afford to sign a dud player.”
Why Newcastle United?
“We didn’t go for a Tottenham, Chelsea or Liverpool…why spend billions.”
Would Saudi Arabia PIF sell Newcastle United so they could buy another Premier League Club (such as Liverpool or Man Utd)?
“No, I don’t think so.”
If you would like to feature on The Mag, submit your article to firstname.lastname@example.org