RMC Sport report that the LFP – the Ligue 1 authorities – have pre-selected 25 different investment funds as candidates to take part in the creation of a commercial entity.
The project has been in progress for several months now, although the company itself has not yet been created as a law is still in place regarding minority shareholders, which is expected to be modified in the French parliament in March.
In the meantime, the LFP have worked on the creation of the entity on a phase-by-phase basis. The project had been presented to clubs in October, with the outline consisting of selling around a stake in the region of 10% – no more than 20% – in the commercial entity for €1.5bn.
Following preliminary discussions, 25 out of 60 investment funds have seen themselves pre-selected based on their financial capabilities and their experience with the media industry. The LFP had been looking for a strategic, as well as financial, partner.
Each fund will now be sent a 130-page document detailing the league’s ambitions, plans and vision – to “sell” the prospect of investing in Ligue 1. They will then have until December 13 to submit indicative offers, at which point a formal meeting will be held with clubs.
An end-of-January deadline will then be set for formal offers to come in, with negotiations expected to take place during the first three months of the calendar year, as the entity is founded.
The potential points of contention will include the distribution of the funds, as well as the way in which the entity is governed. LFP president Vincent Labrune’s objective is for the company to be operational by the end of the season, with the cash injection from the investmend fund involved.