Barcelona to sell 10% of TV rights to US Sixth Street over the next 25 years

Barcelona have signed a deal to sell 10 percent of their La Liga TV rights for the next 25 years to global investment firm Sixth Street Partners.

The deal will generate €267 million in revenue for this season’s accounts, with Sixth Street investing €207.5 million initially for its share of the Barcelona TV rights.

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

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

The club said they hoped to earn €600m from both schemes, to turn a profit and enable them to “make Barca a competitive team”.

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

“Sixth Street is a proven supporter of football, an accomplished investor in global sports and media, and a partner who will contribute significant knowledge and resources while allowing us to independently manage our operations.”

Barcelona needed capital at the end of June 30 as that represents the end of their fiscal year, the results of which will set the salary cap that La Liga will allow them a month later.

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

Those debts and the resulting pay 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 €2.7 billion deal with CVC Capital Partners.

Barcelona’s vice president for finance Eduard Romeu confirmed on June 9 that the Catalan club will reject the CVC deal.

In that deal, signed by Spanish clubs last year, a 10 percent share of La Liga’s TV revenues will be sold to CVC.

However, Barcelona, ​​Real Madrid, Athletic Bilbao and the Spanish FA have filed a lawsuit against that deal.

Romeu, meanwhile, added that €500 million was needed to “save” Barcelona ahead of the 2022-23 season.

Barcelona have signed a deal to sign Chelsea’s Andreas Christensen and AC Milan’s Franck Kessie for free, but have been unable to register them due to their financial constraints.

To help newcomers register and ease their restrictions last season, Gerard Pique, Jordi Alba and Sergio Busquets have all made salary cuts to improve Barcelona’s situation, with Samuel Umtiti restructured his contract.

(Photo: Getty Images)

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