Spanish FA denounces La Liga's proposed 2.7bln euro CVC investment deal

La Liga had said that the deal would strengthen its clubs and give them funds to spend on new infrastructure and increase spending on players' salaries.

The Spanish Football Association (RFEF) has rejected a proposed multibillion-euro investment and revenue-sharing deal between La Liga and private equity firm CVC.   -  REUTERS

The Spanish Football Association (RFEF) has rejected a proposed multibillion-euro investment and revenue-sharing deal between La Liga and private equity firm CVC, saying the deal "increases inequality" and could affect the future of the competition.

The Spanish football league last week said CVC would inject 2.7 billion euros ($3.2 billion) into La Liga in exchange for 10% of its revenue and a 10% stake in most of its business, with 90% of that financial injection going to clubs.

La Liga said that the deal, called "Boost La Liga", would strengthen its clubs and give them funds to spend on new infrastructure and modernisation projects as well as increasing how much they could spend on players' salaries.

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"The most important point is that the agreement increases inequality and fundamentally makes a reasonable development of the format of professional football competition in Spain impossible," the Spanish FA said in a statement on Wednesday.

"The RFEF also warns that it will not allow the contribution to lower-level football from these audiovisual rights to be reduced during those fifty years.”

"The RFEF, being aware of the various complaints and comments made by various First and Second Division clubs, has communicated its firm opposition to this agreement," it said.

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Real Madrid said it will launch civil and criminal lawsuits against La Liga president Javier Tebas and CVC Capital Partners' chief Javier de Jaime Guijarro over the deal.

Barcelona has also opposed the deal, with club president Joan Laporta saying the deal was like "mortgaging the club's rights over the next half-century".

Laporta also said he would reject the deal, even though it would have helped alleviate the Catalans' financial problems and allowed them to re-sign Lionel Messi, who has left Barca to join Paris St Germain.

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