The world governing body wants to create a new commercial company called FIFA Forward Enterprise (FFE). The new entity will manage broadcasting, sponsorship, ticketing, licensing and the delivery of major tournaments, including the FIFA World Cup, FIFA Women’s World Cup and the expanded FIFA Club World Cup.
FIFA TARGETS BILLIONS THROUGH NEW VENTURE
With advice from JPMorgan, the new business is valued at $20 billion. It plans to sell up to a 20% non-controlling stake, which could raise around $4.2 billion.
The investment group is expected to be led by Thrive Eternal, a fund launched by Joshua Kushner’s Thrive Capital.
President Gianni Infantino believes the new structure will generate more than $10 billion for football development over the next four years.
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To gain support from its 211 member associations, the gorvening body has proposed a once-off payment of $20 million to each nation through a new FIFA Fast Forward Program. The governing body also insists it will retain full ownership of the company. Private investors will not have any influence over football rules, competitions or the international calendar.
UEFA REJECTS PROPOSAL
UEFA has strongly criticised the plan. The European governing body warned that the proposal could create serious divisions within world football.
Led by president Aleksander Čeferin, UEFA said the FIFA plan “crosses a line that football’s governing institutions should never cross”. It also questioned the transparency of the proposal and demanded more clarity on who would benefit financially.
The organisation ended its statement with a strong message. It said the soul and governance of football are not for sale and insisted that no governing body owns the game.
