Spanish clubs have already received half of the money agreed with CVC -LaLiga

By Fernando Kallas and Corina Pons

TARRAGONA, Spain, Feb 14 (Reuters) – Half of a €1.99 billion ($2.14 billion) media rights deal between LaLiga and venture capital firm CVC Capital Partners has has already been paid to the 38 major clubs that accepted the investment, an official The official of the Spanish football league confirmed on Tuesday.

The €915m cash injection was made available to clubs on Monday, as part of a deal approved in December 2021 to boost the value of the business behind the football industry, although four clubs – including Barcelona and Real Madrid – chose not to participate.

LaLiga expects Spanish clubs to receive an additional €452.4m this year and the remaining €454m in 2024, to fund modernization projects and infrastructure investment.

The investment secured CVC an 8.2% stake in a new company that will manage LaLiga broadcast rights and sponsorship revenue for 50 years.

Initially, clubs will use CVC funds to pay down debt and invest in their professional teams.

The so-called ‘Boost LaLiga’ project sets rules on where the money goes. Clubs must allocate 70% to infrastructure and modernization projects. Up to 15% can be used to sign players and the remaining 15% to reduce debt.

Each club should have submitted their plans to LaLiga for approval by June 2022, although according to a LaLiga official only 21 have been fully approved and five clubs are yet to deliver their development plan.

LaLiga chairman Javier Tebas has said he expects TV rights revenue to grow by 11% per year by 2027 when they are due to sign a new deal.

LaLiga expects the total value of its business to grow from €24.2 billion to €33-35 billion in seven to 10 years, and will help clubs invest their share of the money.

Real Madrid, Barcelona, ​​Athletic Bilbao and the Spanish Football Federation have taken legal action against La Liga over the deal. The three clubs opted out of the deal, calling it an “illegal transaction that causes irreparable damage to the entire Spanish football sector”.

(1 dollar = 0.9316 euros)

(Reporting by Fernando Kallas and Corina Pons in Tarragona; editing by Clare Fallon;