FIFA has reportedly engaged US financial advisors Raine Group to general the required $ 1 billion of the first edition of the Club World Cup.
The Raine Group brings on board the experience of generating revenues for football in its consultancy roles with Manchester City owner City Football Group, who were assisted in a 10% stock disinvestment to the US Silver Lake group for $ 500 million. It is also reported to be behind plans of the proposed $240 mn Premier Golf League.
The firm, according to New York Times, is hired as the world governing body for football has failed to secure desired financial goals for the 2021 Club World Cup, which was awarded to China last year.
A major chunk of the $ 1 billion budget will go to the top European clubs, who are seeking massive deals for participation in the FIFA event.
The daily quoting sources has reported that leaders from a group of elite European clubs, including Liverpool, Juventus and Barcelona, had visited the FIFA headquarters in Zurich to discuss the creation of a joint venture between FIFA and the European Club Association, a status that would elevate their interests above participating teams from five other regional football confederations. The talks reportedly centred on financial incentives, and the possibility of including as many as 12 European teams, four more than the current format, which caps European involvement at eight.
A FIFA document, seen by the New York Times in 2018, reportedly noted that the world governing body needed to raise between $650 million and $1 billion for the expanded Club World Cup to be viable.