TARRAGONA - Spain’s top clubs need to raise their expectations so they can fully monetise the potential business around football, a top executive from private equity firm CVC Capital Partners said on Wednesday.

The Luxembourg-based fund, which has signed a media rights deal with the Spanish La Liga for €1.99 billion (S$2.84 billion) to boost modernisation of the clubs, believes the plan is going in the right direction but expects to see more results.

The deal has secured CVC an 8.2 per cent stake in a new company that will manage revenues from La Liga’s broadcasting and sponsorship rights for 50 years.

La Liga confirmed on Tuesday that €915 million had already gone to the 38 top clubs who had agreed to accept the money. Most of it would finance infrastructure projects and hiring new talent.

“The clubs need to be more ambitious,” said Juan Arbide, CVC’s senior managing director. “It is important that the clubs become more global and digital companies, and understand the profile of their fans.

“The priority should be collecting fans’ data because is it the key for monetising the business around football for the long term.”

La Liga and CVC are encouraging Spanish clubs to use the funds to refurbish stadiums to attract more fans, increase social media followers and invest in technology to collect fan data in order to be in a better position to negotiate the next television rights deal.

Almost a year after CVC acquired a 13 per cent stake worth €1.5 billion in France’s Ligue 1 media rights business, it said that the French league was “10 years behind La Liga” as it was struggling to collect fan data because no database existed before the deal.

CVC has also invested in Formula One, MotoGP, cricket, volleyball, rugby and tennis.

La Liga president Javier Tebas said he expected an increase in the league’s TV rights revenues of 11 per cent annually by 2027, when they are due to sign a new deal.

“The time has come to monetise the football game experience,” he said.

“In four years we will already notice an increase in revenues from game-day experience, e-commerce and TV rights.”

La Liga expects the total value of its business to increase from €24.2 billion to €33-35 billion in seven to 10 years, and it will help the clubs to invest their share of the money.

The deal approved in December 2021 mainly seeks to increase the value of the business behind the football industry, though four clubs – including Barcelona and Real Madrid – opted out. REUTERS