Private equity firms CVC Capital Partners and Blackstone Group are reportedly in negotiations to invest in Italy’s Serie A soccer league.
According to a report by the Financial Times, CVC has valued the soccer league at €10bn and mulls a 20% holding in the league.
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The stake is said to be worth €2bn ($2.17bn).
If materialised, the transaction would offer CVC a role in selling broadcasting rights for 10 years from 2021.
The report adds that the talks are at a preliminary stage and also flags a potential legal hurdle.
Meanwhile, people familiar with the issue cited that Blackstone is weighing lending to clubs to cover their expenses during the shutdown of fixtures.
The same people also stressed that the negotiations are at an early phase and an agreement materialising is still uncertain.
Neither of the parties involved commented on the matter.
Two months back, Italy suspended the league campaign as the nation went under a lockdown triggered by the Covid-19 global health crisis.
According to KPMG, Serie A could lose revenues of €550m-€650m related to broadcasting, sponsorship and ticketing if the season ends with no further matches.
Serie A teams shared €1.2bn in broadcasting revenues last season, which is €2bn lower than clubs in England’s Premier League.
Moreover, Serie A also repeatedly postponed a decision on a €1.15bn partnership proposal with Spanish TV production group Mediapro.
The collaboration was intended to create a new channel to show Italian top-tier matches.
