According to a recent report by The Times (Subscription Required), Premier League outfit Newcastle United are said to be the subject of a financial takeover by a group fronted by British financier Amanda Staveley and founded by the Saudi Arabia Public Investment Fund. Also included in the deal are wealthy British property mogul brothers David and Simon Reuben. It has been claimed that 80% of the financial commitment will be taken care of by the Saudi Arabian crown prince.
Although football has been brought to a complete standstill amid the COVID-19 pandemic, the leaders at Staveley’s PCP Capital Partners have even managed to secure a vendor loan from Mike Ashley to get the deal over the line. With no indication of when the league season could resume, there is still a lot of confusion surrounding the footballing world. The documents filed at Companies House have been duly signed by the buyer, meaning that a deal is obviously in the very final stages.
The Link Between The Parties
Mike Ashley’s takeover at St.James’ Park in the summer of 2007 was seen as a step in the right direction by Newcastle fans, but as it turned out, his investment into the club was limited. When compared to the expectations of the fans, the Magpies have done a minimal amount of business in the transfer market. For this, Ashley has been the subject of quite a bit of criticism from his own fan-base.
The founder of sporting goods retail chain Sports Direct initially rejected an advance from Staveley back in 2018, after he described his discussions with her to be ‘a complete waste of time’. Despite this, Staveley is said to have continued to remain in conversation with Ashley about an eventual sale. Having roped in the PIF for financial backing now as well, they have managed to secure a deal with Mike Ashley.
How Does Newcastle United’s Prime Investor Mohammed Bin Salman Compare To Manchester City Chairman Sheikh Mansour?
For starters, the Bin Salman’s sporting interests have been minimal so far, with the Saudi second division being named after him his only real involvement with the sporting world. But what’s interesting to note is that the Saudi Crown prince’s family wealth is a lot more than Sheikh Mansour’s, even though his personal worth is less.
Moreover, the fact that Bin Salman is still only 34 could have an important part to play. Effectively in control of his country, unlike Sheikh Mansour, because the current king has Dementia means that the amount of investment that’s poured into the Newcastle team next season could be monumental. With a reported family wealth in the region of £1.3 Trillion, there are definitely going to be some big changes brewing at Tyneside very soon.
What Does The Future Hold For Newcastle United?
Simply put, the Magpies should be expecting to challenge for a European place next season. Manchester City must be considered as a prime example, as their development from a mid-table club to title-challenges happened within the space of a couple of years. That’s what this takeover has the potential to do at St.James’ Park. Steve Bruce is undoubtedly going to be backed in the transfer market this summer, while big things could be on the horizon at Tyneside very soon. If there was ever a reason for the Toon army to get properly excited, this financial takeover by a member of the Saudi Royal Family is it.
