Paris – The Arnault family, owners of the LVMH luxury
goods conglomerate, are in “exclusive negotiations” to buy a controlling stake
in French football club Paris FC in a deal that will see energy drinks giant
Red Bull secure a minority shareholding.
The Agache group, which is controlled by LVMH CEO Bernard Arnault, said in
a statement that it hoped to transform the French capital’s second
professional club into one of the country’s leading sides.
Paris FC “is about to embark on a new chapter in its rich history with the
Arnault family and Red Bull, who are negotiating the acquisition of a minority
stake.”
“Agache, with the advice of Red Bull, intends to contribute to the
influence of the club’s unique values and provide it with the necessary
resources to pursue its economic, civic and sporting development. It is driven
by a twofold ambition: to permanently establish the men’s and women’s teams
among the elite of French football and within the hearts of the Parisians.”
The hope is that Paris FC can go on in the long term to challenge Paris
Saint-Germain, who have dominated French football since being taken over by
Qatar Sports Investments in 2011 and have won the Ligue 1 title in 10 of the
past 12 seasons, while also reaching the Champions League final in 2020.
Paris FC have not been in the top flight of French football since 1979 but
are currently top of Ligue 2 and hoping to win promotion this season.
‘New and exceptional chapter’
A source close to the negotiations said the Arnault family, France’s
wealthiest with Bernard and his five children, would initially purchase a 55
percent stake in the club with Red Bull acquiring 15 percent.
Pierre Ferracci, the 72-year-old businessman who has been at the helm of
the club since 2012, is expected to maintain a 30 percent stake before handing
that over in 2027, when the Arnault family share would jump to 85 percent.
“With our support, as well as the invaluable support of our partner Red
Bull, we are very hopeful that, gradually, we will together write a new and
exceptional chapter in French football history,” said Antoine Arnault, the son
of Bernard Arnault, who will represent Agache on the board.
He said there would be no “specific objectives at this stage” while adding:
“Sport sometimes holds many surprises”.
Brands that fall under the LVMH umbrella include Louis Vuitton, Dior and
champagne producer Moet.
But moving into football marks a new venture for the Arnaults, who will
hope the expertise of Red Bull helps transform Paris FC into a leading club in
France and in Europe.
‘Experience and know-how’
The energy drinks giant already has a large stable of football clubs
including Champions League regulars RB Leipzig, Red Bull Salzburg and New York
Red Bulls.
It recently appointed Jurgen Klopp as head of football operations, meaning
the former Liverpool manager could have a say in how Paris FC shape up on the
pitch.
“We want to offer our experience and know-how to open up new sporting
horizons for Paris FC,” Red Bull director general Oliver Mintzlaff said in the
same statement.
Paris FC’s women’s team featured in the Champions League last season and
the aim is to turn them into regular challengers to Lyon and PSG in the
domestic women’s league, while also ensuring that there are two clubs from the
French capital in the men’s Ligue 1, something which has not happened since
the demise of Racing Paris in 1990.
Arnault, one of the world’s richest people, has also moved to build the
empire in directions other than luxury, notably taking control of the Paris
Match weekly magazine.
LVMH’s high profile and highly visible product placement in the Paris
Olympic Games, designing medals, ceremonial uniforms and presentation trays,
raised eyebrows and created some tensions with the Games’ long-term sponsors.(AFP)
