PIF's stance on Newcastle United as Yasir Al-Rumayyan makes major spending announcement

As it stands, around 30% of PIF’s portfolio is tied up overseas. This includes Newcastle United, who they own a 85% stake in following their majority takeover in October 2021.

Sport has played an integral part in the PIF’s spending by investing significantly in Boxing, MMA, F1, snooker, darts, WWE and the Saudi Pro League. Vision 2030 is Saudi Arabia’s ambitious project to diversify the country’s economy away from oil by the end of the decade.

But almost a decade into the government-backed programme, PIF are poised to tilt their outlay towards domestic spending. Yasir Al-Rumayyan, Newcastle’s non-executive chairman who also serves as PIF’s governor, opened up about the wealth fund’s meteoric rise.

“The (international investments of the fund) increased from two per cent (in 2015) all the way up to 30 per cent”, he told the Future Investment Initiative summit in Riyadh. “Now our target is to bring it down to a range between 18 to 20 per cent.

“People used to come to us and ask for money. We are now seeing that shift from people wanting to take our money to people wanting to co-invest. All of these companies are big investors in new sectors that were not in existence in Saudi Arabia. People are seeing the difference, from their perception of Saudi Arabia back in 2015.”

Al-Rumayyan’s comments had sparked fear among Newcastle fans that PIF would reduce their investment. However, the Daily Telegraph claims PIF will not change their stance towards the football club, reassuring supporters they are still willing to invest in a new stadium and the general growth of the club.

PIF now manage assets worth around $930billion - making Newcastle’s owners the richest in world football. However, financial restrictions, i.e Premier League Profitability and Sustainability Rules (PSR) have prevented them from rapidly transforming the Magpies.