FC Barcelona, the Spanish soccer club, is facing financial troubles. However, they have a plan to turn things around by listing their content creation unit, Barca Media, on Nasdaq. This deal, valued at $1 billion, will be done through a SPAC merger in partnership with Swiss private equity fund Mountain Partners. Existing Barca Media shareholders will hold an 80% stake in the SPAC company.
The club’s goal is to secure funding and create more sources of income. According to FC Barcelona, Barca Media could become an “important source of revenue in the coming years.” They believe that this move will help them generate more income and overcome their financial challenges.
In a press release, FC Barcelona stated that Barca Media incorporates all of the digital content the club has produced over the past 20 years, targeting fans of all ages around the globe. This includes content that appeals to fans worldwide and spans various age groups.
To further boost their revenue, FC Barcelona is also undertaking a $1.6 billion stadium renovation project. The renovated stadium will include adjacent shopping and entertainment options, which are expected to generate an additional $219 million in revenue through events, ticket sales, and more.
Despite these efforts, FC Barcelona’s financial struggles have had consequences. In 2021, the club recorded a loss of €481 million ($527 million) and had to make difficult decisions, such as not renewing the contract of star player Lionel Messi. The club cited financial constraints as the reason for not being able to afford one of the sport’s highest earners and greatest players.
Overall, FC Barcelona is determined to overcome its financial challenges and restore its status as a financial powerhouse in the world of soccer. The listing of Barca Media and the stadium renovation project are crucial steps towards achieving this goal.