Barcelona to sell 10 per cent of TV Rights for 207.5 million Euros

Barcelona Club in a major decision to boost their financial standing agreed to sell a ten per cent stake in their LaLiga TV rights to Sixth Street, a US private equity group. This agreement will be for twenty-five years at the cost of 207.05 million Euros or 215.84 million in US Dollars.

The World-renowned club announced recently about this significant decision that will affect their future endeavours.

President of Barcelona club Joan LaPorta said on the development, “We are executing financial decisions for a sustainable, efficient, and patient strategy to strengthen the economic situation of the club.”

Sixth Street, The US investment firm previously had an agreement with Real Madrid, after a 360 million Euros deal in May last year to promote and develop new businesses at the Santiago Bernabeu stadium for over twenty years.

Co-founder and CEO of Sixth Street, Alan Waxman said, “Our team works towards a long-term relationship with Barca. Our flexible capital support and expertise in the sports sector will help the club to attain its strategic goals.

Earlier this year, Barcelona sold a minority share of its merchandising and licensing division. In addition, the club approved the cession of up to 25 per cent of their revenue generation from their LaLiga TV rights.

LaPorta joined the club in his second stint. The club’s worse financial situation and other controversies force the board’s resignation. To help the club’s finances, LaPorta was re-elected. He was one of the best CEO of Barcelona Club and presided over the club between 2003 and 2010.

He inherited a financially troubled club caused by the Corona pandemic and LaLiga’s Financial Fair Play (FFP) rules. The club also failed to re-sign Lionel Messi, and he left as a free agent for Paris St Germain last year.

LaPorta mentioned that total debt on Barcelona Club in August last year stood at 1.35 billion Euros, out of those 673 million euros owed to banks. The Club raised an additional 1.5 billion Euros in debt to renovate their famous Camp Nou Stadium. Barcelona Club signed a sponsorship agreement for a shirt and stadium with Spotify, an audio streaming platform for 280 million Euros.