Florentino Perez confirms plan to sell Real Madrid stake to a private investor: ‘Immediately after the election’ | OneFootball

A major conversation around Real Madrid’s presidential election in recent days has been around the club’s ownership structure and the attempt to bring a change.

For decades, Real Madrid has solely been owned by members of the club – the Socios -, but as football modernises, Florentino Perez sees a need to change up the structure.

At this point in the club’s story, Perez sees it as justified to sell a small stake of the club to a private investor to fix the valuation of the club for the external world. The idea is to do so, ensuring that club members remain the decision makers.

Perez’s plan for the ownership model

Speaking to the media earlier today, Real Madrid president Florentino Perez clarified and explained his idea of privatising part of the club’s ownership and why it was a necessary step in his eyes.

“What will change if I’m re-elected? In principle, nothing changes, but some things need clarifying,” he began.

“As you know, I’m going to give the financial ownership to the 100,000 members. Being a Real Madrid socio will no longer be just a sentimental thing, as it has been until now, but will also mean being a lifetime owner of the club,” he added, setting the stage for the topic.

Perez wants to change the ownership model. (Photo by Angel Martinez/Getty Images)

Perez was then asked why he needed to change matters in the first place if the Socios have always been the owners of the club, to which he explained the practical on-ground reality and the loopholes in the current structure.

“Right now, when someone dies, they’re buried and that’s the end of their story with Real Madrid. And that can’t be. I’m going to give the members financial ownership.”

“Besides, it’s a satisfaction for me because I came in wanting them to be the owners from day one,” he added.

The next question that arose was why it is necessary to sell a small stake to a private investor just to implement the idea he has in mind.

“It’s not necessary. But who says the club is worth 10 billion? Forbes? That’s not a valuation. A valuation is when someone buys a tiny part, 5%, simply to establish the value,” he said.

When asked what the supposed ‘private investor’ would get with the 5% stake, Perez said,

“Nothing. These are firms with such extraordinary value that no one can think they’re coming after Real Madrid.”

“Which is the opposite of what this Riquelme candidacy wants to do. I had already considered calling elections because I wanted to retire with the assets transferred to the owners. There’s nothing cleaner,” he added.

On the sustainability of the idea

The next question that naturally arose was what would stop a further sale of the club’s stake once the doors were opened to an initial 5%.

“Whatever the members want, and always by referendum. But that 5% won’t call the shots. Let’s say it might be more about image, associating themselves with a brand like Real Madrid.”

Perez is confident that the club will always remain the Socios’. (Photo by Angel Martinez/Getty Images)

“But it will be the 95% of the members who will continue to be in charge,” he added in justification.

Committing the rest of his term and life to Real Madrid’s transparent future and sustainability, Perez said,

“I won’t die until I’ve ensured that the club’s financial assets belong to its members. It won’t belong to some random person who happens to be there, who has no money, and who’s capable of taking out a predatory loan to get their hands on Real Madrid.”

“The other candidacy is a syndicate of vested interests, the kind who used to sneak into assemblies without being members and vote,” he added.

Finally, he confirmed the plan of action for partial privatisation would begin immediately after the elections.

“Immediately after these elections, I will call for an extraordinary assembly and a referendum to vote for the change of the ownership model.”

Source: El Pais