Barcelona sell 10% of TV rights for the next 25 years to the American company Sixth Street

Barcelona sell 10% of TV rights for the next 25 years to the American company Sixth Street

Barcelona have reached an agreement to sell 10% of their La Liga TV rights for the next 25 years to global investment firm Sixth Street Partners.

The deal will generate €267m (£230m) in revenue for this season’s accounts, with Sixth Street initially investing €207.5m (£179m) for its share of the television rights from Barcelona.

Barcelona members agreed at an EGM on June 16 to sell up to 25% of their La Liga TV rights to one or more investors.

The members have also agreed to sell 49.9% of the Barca Licensing and Merchandising (BLM) arm of the club, to raise capital to balance the books for the 2021-22 season.

The club said they hoped to make €600m from the two arrangements, in order to make a profit and enable them to ‘make Barca a competitive team’.

“We are activating economic levers and executing our patient, sustainable and effective strategy to strengthen the club’s financial footing,” Barcelona president Joan Laporta said.

“Sixth Street is a recognized supporter of football, an experienced investor in global sports and media, and a partner who will bring significant knowledge and resources while enabling us to manage our operations independently.”

Barcelona needed capital by the end of June 30 as it represents the end of their financial year, the results of which will determine the salary cap La Liga will allow them a month later.

Barcelona’s dire financial situation is well documented, with Laporta inheriting debts of over €1 billion from his predecessor Josep Maria Bartomeu.

These debts and the salary cap imposed by La Liga prevented the club from offering Lionel Messi a new contract last summer.

Barcelona’s deal with Sixth Street comes months after they – and Real Madrid – rejected La Liga’s proposed €2.7 billion deal with CVC Capital Partners.

Barcelona vice-president of finance Eduard Romeu confirmed on June 9 that the Catalan club will reject the CVC deal.

The deal, which was struck by the Spanish clubs last year, sees CVC selling a 10% share of La Liga TV revenue.

Barcelona, ​​Real Madrid, Athletic Bilbao and the Spanish FA have, however, taken legal action against the deal.

Romeu, meanwhile, added that €500m is needed to ‘save’ Barcelona, ​​ahead of the 2022-23 campaign.

Barcelona reached deals to sign Andreas Christensen from Chelsea and Franck Kessie from AC Milan on free transfers but were unable to register them due to their financial constraints.

In a bid to help register new arrivals and ease their restrictions last season, Gerard Pique, Jordi Alba and Sergio Busquets all took pay cuts to help Barcelona’s situation, with Samuel Umtiti restructuring his contract.

(Photo: Getty Images)

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