Real Madrid (July 5 ) - Real Madrid denounced a multi-billion dollar transaction between the top soccer league of the Spanish Football League and private equity firm CVC on Thursday saying the agreement was reached without the football club's knowledge or consent.
The negotiation was done without competitive process. Giving the CVC fund over 20% annual returns, Real Madrid said in a statement, adding that the operation's structure was deceitful and would expropriate clubs of a portion of their audiovisual rights over the next 50 years.
The club considers the deal, under which CVC will invest 2.7 billion euros in La Liga in exchange for 10% of its revenue and a 10% stake in most of its business, to be a misappropriation of assets by Real Madrid and will sue La Liga accordingly, Spanish outlet El Independiente reported.
CVC did not respond to a comment request.
We are at odds over many topics, there are several open cases between La Liga and the club.
Relations between Madrid and La Liga, which have often been strained, hit new lows earlier this year after the club spearheaded a movement to create a breakaway European Super League with 11 other major teams.
The Spanish Football League Executive Committee, which includes the bosses of Atletico Madrid and Sevilla but not those from Real Madrid or FC Barcelona, approved the planned CVC deal on Wednesday and it will now be put to a vote by all LEM members.
The Real Madrid added that it would call an assembly of its partners to discuss the agreement and debate the unprecedented patrimonial losses.