‘Allow to spend’ - Newcastle United discover ‘secret weapon’ to combat FFP struggles
Former Everton and Aston Villa CEO Keith Wyness has advised Newcastle United to strike further deals with Saudi Arabian companies.
The Magpies have already made several partnerships with Middle Eastern firms since the takeover three years ago. Sela, the club’s front-of-shirt sponsor, is owned by the Public Investment Fund, Newcastle’s dominant shareholder.
PIF also own a chunk of Noon, the e-commerce brand donned on United’s sleeves. Saudia, the airline company, are another official Newcastle sponsor, with Toon chiefs looking to use their ties with the region to boost commercial returns.
However, ex-Toffees chief Wyness believes more can be done given the FFP/PSR backdrop. He told Football Insider: “They’ve got to try and increase the revenue streams. I think they should be doing more in Saudi to create more opportunities, as well as working with the PIF’s other investments across the world.
“I’ve not seen enough of those opportunities capitalised on yet. The Public Investment Fund have stakes in some big companies and, if they can be sponsoring Newcastle, then that will really allow the club to spend more money in the market.”
Newcastle are wary of the Premier League’s associated transaction rules that analyse whether sponsorship deals reflect fair market value. These regulations were introduced following the Saudi takeover and amended earlier this year.
Ironically, Manchester City have commenced legal action against the top flight amid their ongoing battle for alleged financial breaches. City have enjoyed a close relationship with Etihad, the airline owned by the United Arab Emirates, with stadium naming rights and front-of-shirt sponsorship deals.