Sports
Partey Deal: Arsenal records a whopping £67 million deficit in summer of 2020 transfer window
Arsenal incurred a deficit following the deadline transfer of Thomas Partey from Athletico Madrid.
With the ending of the 2020 summer international transfer window in England, Arsenal Football Club has recorded a deficit of £67 million in transfers for the period under view.
This deficit is largely swelled by the deadline transfer of Thomas Partey from Athletico Madrid to Arsenal for the sum of £45 million, contributing about 67.2% of the total deficit.
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The deficit was a result of high-payments for the transfer of players into the club and low receipt for outgoing players. A cursory look at the information available at the official website of the English Premier League revealed that Arsenal recorded a total of 28 transfers, with 11 incoming players and 17 players leaving the club between 27th of July to 5th of October, 2020.
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While Arsenal FC paid £87 million to sign in players, it only recorded a £20 million transfer fee for an outgoing player, Emiliano Martinez, who was sold to Aston Villa. The other outgoing 16 players were either released or loaned, making it about 94.12% of the outgoing players that earned no substantial amount to the club.
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Although the summer transfer is still open only for domestic transfers, the breakdown of the £87 million spent by Arsenal FC so far include: £45 million paid to Athletico Madrid for Thomas Partey, £27 million paid to Lile for Gabriel, £14 million to Flamengo for Pablo Mari and £1 million to Dijon for Alex Runarsson. Other players were either brought in through loan, free, or for an inconsequential or undisclosed fee.
(READ MORE:Football: Deadline day transfer deals)
Compared to the summer of 2019/2020, the spending powers of Arsenal FC were slightly decreased moving from £118.5 million spent in the summer of 2019/2020 to just £87million so far, representing a 26.6%. This might be due to the pandemic which affected the finance and spending powers across the board in the elite leagues in Europe
Sports
NFF receives $1 million from FIFA as COVID-19 palliative
Nigerian Football Federation received the sum of $1 million from FIFA as COVID-19 palliative.
The Nigerian Football Federation (NFF) has received the sum of $1 million from FIFA as COVID-19 palliative to support male and female footballers in the country.
This was disclosed by Amaju Pinnick in a statement confirming the receipt of the grant from the world football governing federation FIFA, which was seen by Nairametrics on his official Twitter handle.
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He tweeted, “Huge appreciation to football’s world governing body, FIFA for the $1 million (one million dollars) the Federation has received in the frame of COVID-19 palliatives. The money was received by the Nigeria Football Federation and we re-confirmed the purpose from FIFA two days ago.
“It is imperative to note that, FIFA also sent $600,000 to the Federation for the FIFA Forward 2.0 projects in Binin-Kebbi and Ugborodo, which costs $300,000 each.
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“This fund is a big boost for the mini-stadia projects in both centres, as it will fast track the completion of the projects slated for the end of March 2021.”
Huge appreciation to football's world governing body, @FIFAcom, for the $1 million (one million dollars) the Federation has received in the frame of COVID-19 palliatives. The money was received by the @thenff and we re-confirmed the purpose from FIFA two days ago.
/1
— Amaju Melvin Pinnick (@PinnickAmaju) October 28, 2020
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What they are saying
Speaking on the receipt of the grant, NFF President said:
“The $1 million for palliatives is composed of $500,000 for men’s football and $500,000 for the women’s game. FIFA has also promised to send the Federation an additional $500,000 sometime in January 2021, also as part of COVID-19 palliative efforts.”
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Speaking of other grants, he added:
“On the continent, we have received confirmation from Confederation of African Football (CAF) that the Federation will receive the expected $300,000 from the Confederation on or before Sunday, the 1st of November.”
With the $200,000, he added that the NFF has already ring-fenced from its sponsors’ funds for the purpose, “the coast will then be clear for us to start the disbursement of funds to the beneficiaries, as captured in our approved template, from next week.”
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“Even though we are bolstered by the guidelines from FIFA strictly outlying the purposes of these funds as well as the approval of the NFF Executive Board, we will also interface with our auditors, PricewaterhouseCoopers, on each and every line item, to ensure the disbursements conform to global best practices.”
The beneficiaries of the fund are expected to ensure 100% compliance to the guidelines, by ensuring that all funds are paid into designated accounts.
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Sports
UEFA to cut prize money for next 5 seasons due to financial impact of COVID-19
UEFA has decided to cut prize money for the Champions League and Europa League competitions due to the financial impact of the COVID-19 pandemic.
The Union of European Football Association (UEFA), lost £514million from the Champions League and Europa League last season due to the COVID-19 pandemic.
This led to reduced TV and sponsorship income, and as a result, it plans to cut prize money for club competitions – Champions League and Europa League, over the next five years (seasons) to offset the incurred losses.
READ: Football: AC Milan announces loss of €195million
According to The Times, UEFA wrote to its 55 member associations revealing the amount lost (£514million) due to the financial impact of the pandemic and its plans to cut the prize money for its two competitions.
By spreading the costs out to offset losses, competing clubs in the two UEFA club competitions (Champions League and Europa League) can expect a roughly 4-per-cent drop in Uefa prize money in each of the next five seasons.
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The 2019-20 Champions League and Europa League were on hold for five months (mid-March to August) when the pandemic wreaked havoc on the global sporting calendar, with the UEFA opting to schedule matches from the quarter-finals which were played as single-match knockout ties at neutral venues in Lisbon, Portugal (Estádio da Luz and Estádio José Alvalade).
DAZN, an English streaming platform terminated its rights deal for the UEFA club competitions (Champions League and Europa League) in particular places like South East Asia and Japan, the streaming platform cited the delay and the reduced number of matches (one-legged tie) as a reason for the termination.
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Telco Altice, a French multinational telecommunications corporation, which holds exclusive rights for the Champions League and Europa League in France, has publicly demanded its money back, due to the delay and reduction in matches played. Telco Atlice pays €350million per season for its rights to the two UEFA club competitions for the 2018-21 cycle.
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Also, UEFA recently announced that financial services company – Mastercard, has renewed its Champions League sponsorship contract to continue through the 2021-24 cycle extending its 26-year partnership, dating back to 1994. The agreement also includes sponsorship rights for the UEFA Super Cup competition in 2021, 2022, and 2023.
Sports
Football: Manchester United net debt rises by 133% to £474.1million
Manchester United recently announced its revenue for the fiscal year of 2019/20 ending in June 2020.
English top-flight club, Manchester United, recently announced its revenue for the fiscal year of 2019/20 ending in June 2020. The club’s net debt increased by 133% to £474.1million from £270.5million. However, due to the economic uncertainty caused by the pandemic amidst fears of a second wave of COVID-19, the club has refused to issue revenue guidance for the 2020/21 financial year.
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This is according to KPMG Football Benchmark Club Finance and Operations Tool and club’s press release.
READ: Football: AC Milan announces loss of €195million
What you should know
- Manchester United’s net debt has increased in the fiscal year of 2019/20 to £474.1million, an increase of 133% compared to £270.5million in the previous year.
- The club posted a cumulative revenue of £509million for the 2019/20 fiscal year which ended in June 2020 and also represents a nosedive of 18.8% compared to revenue of £627.1million in the 2018/19 fiscal year. This is also the lowest figure the club has recorded since the 2014/15 fiscal year.
- Broadcasting revenue decreased from £241.2million to £140.2million, a drop of 42%. This was primarily attributed to an estimated £15.0m Premier League rebate due to broadcasters, broadcast schedule changes to the 2019/20 football season, non-participation in the UEFA Champions League, and the impact of playing two fewer Premier League away games.
- Due to the impact of postponement of the Round of 16 Europa League home match and closure of non-match day operations in mid-March which saw Old Trafford shut down, matchday revenue decreased to £89.8million, a drop of 19%.
- However, despite the losses, United’s commercial revenues remained resilient, posting an increase of 1.4% to £279m in the previous year.
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Manchester United’s Executive Vice-Chairman Ed Woodward said, “Our focus remains on protecting the health of our colleagues, fans, and community while adapting to the significant economic ramifications of the pandemic.
“Within that context, our top priority is to get fans back into the stadium safely and as soon as possible.”
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Anonymous
October 6, 2020 at 7:38 pm
Great!!! Am so happy for the new signing. Up Arsenal