The first “Clásico” of the current season was on Sunday, the duel between FC Barcelona and their eternal rival Real Madrid (not over when this issue went to press). But the battle, which was probably more groundbreaking for the medium and long-term future than any football game could be, rose on Saturday: the end of the general meeting that had been interrupted the previous week.
At the time, the votes on important items on the agenda were postponed because the FC Barcelona ranks wanted to go to the stadium to see the game against Valencia CF. It was won 3-1 on October 17th and gave controversial coach Ronald Koeman some breathing space. On Saturday it was President Joan Laporta who breathed a sigh of relief. Because at the second part of the general meeting, the club’s electors gave him permission, with an overwhelming majority of almost 94 percent, to negotiate a loan of breathtaking magnitude – a loan of up to 1.5 billion euros.
Barcelona is fighting for economic survival
In contrast to the latest mega-loan, 595 million euros via the US investment bank Goldman Sachs, the new loan is not intended to restructure the 1.3 billion debt and thus the current economic survival of the club.
But the financing of a project known as “Espai Barça”; According to reports, Goldman Sachs is ready again. “Espai Barça” includes the modernization of the in many ways ailing Camp Nou stadium, which alone would cost 900 million euros; the construction of a new sports palace for basketball and handball players (420 million euros); in addition, a series of urban modernization works around the stadium and on the grounds of the club in Sant Joan Despí (120 million euros).
There, in front of the city gates, is the club’s training ground, as well as the small stadium named after the club legend Johan Cruyff, in which, among other things, the women’s team and the men’s second team play their games. The borrowing has yet to be confirmed by referendum among the approximately 140,000 members. A date has not yet been set, but acceptance of the application is considered certain.
Especially since Laporta painted the devil on the wall. “The modernization of our facilities is necessary in order not to lose competitiveness compared to our rivals,” said Joan Laporta, who has been in office since March. This was not only aimed at Real Madrid, the Spanish record champions are currently completely renovating the Bernabéu Stadium for hundreds of millions of euros. But also to a good half a dozen other clubs that have renovated their stadiums in recent years.
“We would be set back fifteen years.” The “Espai Barça” project has existed for years, it was promoted under Laporta’s predecessor José Maria Bartomeu and has already swallowed 145 million euros, explained Laporta. If the new borrowing had not been approved, “we would throw away 145 million euros, of which we also have to give back 90,” he shouted. Because in February a loan of 90 million euros is due.
Almost half of “Barça Studios” is sold – including “Barça TV”
The club boss was able to record an important victory in another vote. This involved the immediate suspension of Article 67 of the association’s statutes, which would have sentenced Laporta and his presidium to resign in the medium term. The reason: Article 67 says that a club’s board must resign if losses are incurred for two seasons in a row. More precisely: If the ratio between debt on the one hand and profit before taxes, interest and depreciation (Ebitda) on the other hand is more than two.
“It is impossible to get the debt down within two years,” said Vice President Elena Fort. “Not only do we have to resign, but the successor praesidia too,” she warned. In fact, a correction of the balance sheet figures should be ruled out: The loss that was posted for the last financial year – that is, under Laporta’s predecessor Bartomeu – amounted to 468 million euros.
The alternative to suspending Article 67 would be to do what Bartomeu did, Elena Fort said: silvering assets and players and making transfer swaps “to make up the balance sheet,” she said, referring to the change of the Brazilian international, among other things Arthur to Juventus and the Bosnian Miralem Pjanic in reverse. On the other hand, that doesn’t mean that Barcelona aren’t selling a few things too.
Currently: almost half of “Barça Studios”, the company that bundles all of the club’s audiovisual activities, including the channel “Barça TV”. One hopes for income of 40 to 50 million euros, it said. “Our business is not in filmmaking,” said Laporta, explaining the decision, which also received the support of Barça’s electorate. Whereby: What Barcelona has offered in recent months and years is definitely enough for an economic thriller soap.