Barcelona seek €100m investment in Barca Studios production hub

Barcelona, according to 2Playbook, is seeking to raise €100 million (US$116 million) from its Barca Studios production firm to help offset the club's debts.

Barca president Joan Laporta plans to raise €50 million (US$58.1 million) by selling a minority part in Barca Studios, with the buyer investing another €50 million in the club's production arm, according to the sports business site.

In January 2019, Barcelona announced the inauguration of their in-house production hub, which is now in charge of the creation, production, and distribution of all audiovisual material for the La Liga club. One of the concepts announced was a fictional teen drama series centred on the club's La Masia academy.

Since then, 2Playbook reported in December 2020 that Barca Studios had earned more than €30 million (US$34.8 million) in revenue and €17 million (US$19.7 million) in earnings before interest, taxes, depreciation, and amortisation (EBITDA).

With the Catalan club's debt presently standing at €1.35 billion (US$1.57 billion), Barca Studios has been listed as one of several divisions from which the club might raise revenue. Prior to Laporta, 2Playbook alleged that former president Josep Maria Bartomeu was planning to sell a 49 percent stake in Barca Studios to raise €100 million.

Bartomeu's suggestion was part of a plan to sell an interest in Barca Corporate, a subsidiary company that contains the Barca Academy project, Barca Innovation Hub, and Barca Licensing and Merchandising, in addition to Barca Studios (BLM).

According to 2Playbook, the investment might be valued up to €400 million (US$464 million). The private equity firms Blackstone, Abry Partners, and Artos, as well as a consortium consisting of Investindustrial, Elysian, and Fanatics, were among the four finalists, according to the report. The agreement was reportedly called off by Laporta, who told 2Playbook that the proposition was "unattractive."

Should a transaction for Barca Studios be completed at this time, 2Playbook adds that the club hopes that an industry partner will enable the production house to better develop, accelerate, and commercialise its material, in addition to the short-term benefits of any investment. According to 2Playbook's assessment, Barca Studios is valued at €200 million.




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