What: Real Madrid is about to close the sale of its internet image rights to U.S. private equity firm Providence Equity Partners in a ten year deal.
Why it matters: Internet rights of Real Madrid are valued at 500 million euros (approximately US $537 million). Real Madrid is one of the world’s strongest soccer brands. According to the Spanish soccer club, its website is the most visited digital property among soccer club sites worldwide.
Real Madrid president Florentino Pérez is about to sign a deal with U.S. private equity firm Providence Equity Partners to sell the soccer team’s image rights on the internet during the next ten years. This agreement will generate nearly 500 million euros (US$ 537 million) for Real Madrid.
In the past few months, Providence Equity Partners has acquired a significant participation in the marketing agency Chime, and also owns a 25% stake in Major League Soccer’s commercial department (Soccer United Marketing).
The investment company Key Capital Partners led this new agreement with Real Madrid.
According to the Spanish soccer team’s official site, the club’s web site was the most visited among soccer clubs worldwide, during 2016. According to ComScore it had 1.35 million monthly uniques.
Although Real Madrid lost its Champions leadership, and FC Barcelona has taken the lead in Spain, Madrid’s soccer team has an outstanding online business which it is now intending to monetize even better through a deal with Providence Equity Partners.