FIFA targets $4.2bn from investors through new $20bn commercial vehicle

FIFA is seeking to raise up to $4.2bn from external investors through the creation of a new commercial subsidiary, marking the first time the governing body has opened its media and commercial rights business to outside capital in a move that has already drawn strong criticism from UEFA, according to a report by Bloomberg.

The proposed entity, FIFA Forward Enterprise (FFE), would consolidate FIFA’s commercial and event operations, including broadcasting, sponsorship, ticketing and licensing rights for competitions such as the men’s and women’s World Cups. The business would be launched with an initial equity valuation of around $20bn, with FIFA looking to sell minority, non-controlling interests to long-term investors.

FIFA is working with JPMorgan on the fundraising, while Joshua Kushner’s investment vehicle Thrive Eternal has been identified among potential investors. Consulting firm OpenEconomics is also assisting with discussions with prospective backers.

Under the proposed structure, investors would not receive dividends or direct cash distributions. Instead, returns would be linked to any appreciation in the value of FFE, allowing investors to realise gains through a future sale of their stakes. FIFA said it would retain majority board control and exclusive authority over football governance, competitions, the international match calendar and all sporting decisions.

The governing body said the transaction would significantly increase funding for its member associations through the FIFA Forward programme, with total football development funding projected to exceed $10bn over the coming years if the proposal is approved by FIFA’s Council and its 211 member associations.

The proposal has, however, triggered a sharp response from UEFA, which described the plan as crossing “a line that football’s governing institutions should never cross”. Europe’s governing body argued that “the soul and governance of football are not assets to trade”, criticised the lack of transparency around who would benefit financially, and insisted that “none of us are the owners of football. It is not FIFA’s to sell.”

UEFA’s intervention highlights growing tensions over the increasing commercialisation of elite football, with critics questioning whether private capital should be allowed exposure to the future economics of the sport’s most valuable competitions.

For private equity and long-term infrastructure investors, the proposal would create a rare opportunity to gain exposure to one of the world’s most valuable sports media and sponsorship portfolios. The structure mirrors similar moves elsewhere in sport, where governing bodies and leagues have established commercial subsidiaries to attract institutional capital while retaining control over sporting operations.