PARIS (Reuters) – The Professional Football League (LFP) announced on Friday that it has signed an investment commitment agreement with the investment company CVC as part of its plan to create a commercial company aimed at providing permanent funding for French football.
In a press release, the LFP specifies that as part of this agreement, CVC plans to invest 1.5 billion euros in the capital of its commercial subsidiary and will receive in return a 13% stake in the capital of the latter.
The investment agreement values the subsidiary at 11.5 billion euros.
“Most of this financial contribution will be paid to professional football clubs, another part will be intended for amateur football, the reimbursement of the PGE (loan guaranteed by the State, editor’s note) contracted by the LFP in 2020, the constitution of ‘a reserve fund and the priming of the commercial subsidiary in order to give it the means of its ambitions,’ says the LFP.
The LFP announced last month that it had entered into exclusive negotiations with CVC for the creation of this commercial subsidiary.
(Written by Matthieu Protard)
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