PIF ready to sell Newcastle United and buy £8.7bn alternative? Here’s the truth
Saudi Arabia are not about to bail Newcastle United and buy Barcelona despite what one Spanish report suggested over the weekend.
The Public Investment Fund remain committed to Newcastle United despite reports on the continent suggesting otherwise.
A concerted push has seen Saudi Arabia - through vast sums of wealth - bulldoze its way onto the sporting market. Golf, boxing, F1, snooker, darts, WWE and many more fields have welcomed the Gulf state, with the bottomless riches being spent, the nation claims, to bolster its Vision 2030 project.
Critics of Saudi Arabia claim Vision 2023 - the aim to diversify the economy away from oil - is a guise to mask the country’s human rights record. Regardless, as far as sport is concerned, Newcastle were Saudi’s first incursion - through the Public Investment Fund - into football.
PIF journey and frustration
Detested former owner Mike Ashley sold the Magpies in October 2021 for £305million. While currently going through a sticky patch, Newcastle’s fortunes have drastically improved under PIF ownership, with multiple Champions League qualifications and a piece of silverware out of reach less than five years ago.
However, PSR restrictions have prevented United from replicating the likes of Chelsea and Manchester City following their transformative takeovers. This has undoubtedly been a nuisance to PIF, whose goal on arrival was to transform Newcastle into a global behemoth.
The lack of limitless signings and progress on the stadium front has led some Toon fans to question the wealth fund’s desire. NewcastleWorld understands the club remains a “trophy asset” to PIF and the goal is the same, albeit it may take a little longer than expected.
Ludicrous Barcelona reports emerge
El Chiringuito reported at the weekend that Mohammed bin Salman is considering a staggering £8.7billion deal to buy Barcelona. However, this is a total non-starter - without even mentioning Newcastle.
Barca are owned by its members - no individual can purchase the club. Elections are held to vote on who should run the cash-strapped Catalans every six years.
Not to mention, owning the La Liga giants would create further problems due to UEFA’s multi-club model. While PIF - not the Crown Prince - effectively own Newcastle, a legal wrangle would prove inevitable.
Ultimately, the Magpies are not set to be sold to make way for PIF to buy Barcelona. The Toon top brass have gone public in recent weeks to reaffirm the owners’ commitment to the St James’ Park project.
David Hopkinson to Newcastle United fans
New Toon CEO David Hopkinson vehemently insisted to fans at the Stack earlier this month that PIF are still ambitious about Newcastle. He said: "You're talking about a fund where, the last time I looked, it had £1.2 trillion of investments. This is a major, major global player. But I truly believe in my heart of hearts that we are their favourite investment.
“I think we take up so much of their shared mind and heart, way more than would be warranted given the size of the investment. I feel like we're a special investment to them. I feel that, not because they tell me that, but because they show me that. I'm talking to the PIF every single day.
"The question about PIF is a good one - it was one of my questions during the recruitment. There's always different types of ownership - some are deeply connected, at every single match, every single day, others are much more hands off and just see it as an investment. This group at the PIF is very much in the former camp. It's every single day."