Topline
FIFA is reportedly planning to sell minority stakes in the World Cup, aiming to create a new company valued at $20 billion, with private investors purchasing shares.
Key Facts
- According to The Times and Financial Times, FIFA intends to raise approximately $4.2 billion in 2026 by selling a 20% minority stake in a new subsidiary.
- The new entity, named FIFA Forward Enterprise, will manage FIFA’s commercial and event operations.
- Each of FIFA’s 211 member associations would receive $20 million if the deal goes through, with funding increasing until 2038.
- FIFA will maintain primary ownership of the subsidiary and control over competitions and regulatory decisions.
- Thrive Eternal, a fund led by Josh Kushner’s Thrive Capital, will spearhead the investor group. FIFA is advised by JPMorgan.
- The deal requires majority approval from FIFA’s member associations.
Gianni Infantino’s Connections
FIFA President Gianni Infantino could play a significant role in the new company post-presidency, though he denies any discussion on this. Infantino has faced criticism for his connections with former President Trump and claims FIFA consulted with his administration regarding these plans.
Chief Critic
The proposal has ignited controversy among soccer stakeholders. UEFA has expressed strong opposition, asserting that the soul of football should not be commodified, especially without transparency.
Big Number
$15 billion is the projected revenue from the 2026 World Cup, significantly higher than the $7.57 billion estimated from the 2022 cycle. Infantino aims to unlock FIFA’s commercial potential, citing these plans as part of that vision.
This article originally appeared on Forbes.com.
