(Bloomberg) -- Three of Spain’s top soccer clubs are leading an eleventh-hour attempt to scupper CVC Capital Partners’s roughly 2 billion-euro ($2.3 billion) deal to inject much-needed funds into the country’s top leagues, according to people familiar with the matter.
Real Madrid CF, FC Barcelona and Athletic Bilbao will present an alternative funding proposal in letters to the heads of teams in the country’s top two leagues as soon as this week, the people said.
They’ve been working with banks including Bank of America Corp. and JPMorgan Chase & Co. on financing the plan, one of the people said, asking not to be identified discussing confidential information.
The letters are being sent ahead of a crucial vote next week by club presidents on whether to back CVC’s offer to buy a 10% stake in a new company housing all of the Spanish soccer league’s businesses. LaLiga needs 22 out of 42 first and second division clubs for the signing to happen.
Real Madrid and Barcelona have already voiced their opposition to the deal, saying it risks seeing the league lose control of its media rights for the next 50 years. Their rival proposal carries a shorter time frame of 25 years, one of the people said.
Spain’s El Confidencial earlier reported news of the counterproposal.
Representatives for Bank of America, Barcelona, JPMorgan and LaLiga declined to comment, while spokespeople for Athletic Bilbao and Real Madrid didn’t immediately respond to requests for comment.
Stadium closures and rebates to broadcasters during the pandemic combined to drag LaLiga revenue down 8% to 3.1 billion euros in the 2019/2020 season, according to Deloitte’s latest annual review of the sport, with lockdowns having extended into the more recent campaign. That’s had a big impact on clubs like Barcelona and Real Madrid, known for spending often sky-high sums to attract and keep the world’s best players.
While CVC has successfully invested in sports, including motor bike racing, volleyball and rugby, it has struggled with previous soccer deals. The firm tried, and failed, to invest in Germany’s Bundesliga and Italy’s Serie A.
JPMorgan was earlier this year involved in financing a proposal by Europe’s top clubs for a breakaway Super League. These efforts quickly crumbled in the face of fierce opposition from fans and politicians.
Read more: Spain’s Top Soccer Clubs Challenge CVC Deal With LaLiga
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