Newcastle United PIF owners snubbed as major £23.6m per season deal abandoned

Newcastle United's majority owners have fallen victim to a major sports snub after a £23.6m deal was abandoned by one of the most famous teams in the world.

According to reports from the US, Saudi Arabia's Public Investment Fund wasere set to be the new kit sponsor of the New York Knicks- valued at $30 million per season (or £23.6m.)

PIF's entertainment event Riyadh Season was in the final stages of being approved for the kit however the New York City mayor stepped in to object to the partnership. The deal was then called off.

Riyadh Season became the front-of-shirt sponsor for AS Roma in a deal reported to be worth $8m per season whilst PIF-backed airline company Riyadh Air graces the front of Atletico Madrid's kit.

Last year PIF chased a number of major partnership deals and it looks like it isn't slowing down any time soon. After initial reports Newcastle United's owners were looking to purchase Serie A side Inter Milan to kick-start their multi-club model, talk moved towards a sponsorship deal instead with negotiations said to be ongoing.

Despite a drive for sponsorship, there is no doubt transitioning to purchasing other football clubs is central to United's bosses' plans.

Last year Newcastle co-owner Amanda Staveley, who owns 10% of the club, said they were considering the purchase of another club.

“We’re looking at everything in terms of how we grow our brand, our club," said Staveley. "Opportunities to buy players affordably well early in the cycle are critical to our growth. We’re very focused on the academy and young players. We’re bringing some exciting guys in.

“Obviously we’ve looked at a multi-club but whenever you look at multi-club you’ve got to make sure you’ve got the right fit with the changes around GBE points at the moment. It’s important to do that.

“You also have to choose your territory correctly and make sure you’ve got the right chemistry. Remember, you’re working with another fanbase and another area. It’s critical you set out what your goals will be. It’s complicated.

“We’re also looking at another structure that would allow us to do both, maybe something that gives us more opportunity to work with a lot more clubs. That’s just quite an early stage. I think anybody who is looking to buy a club is going to be looking at that multi-club model.”