Atletico Madrid’s owners are in advanced talks to sell a majority stake in the La Liga club to U.S. investment firm Apollo Global Management, according to three people familiar with the discussions.
Apollo could gain control by purchasing shares held by CEO Miguel Angel Gil Marin and chairman Enrique Cerezo, one source said, while another indicated the deal might also include stakes from investment fund Ares Management.
Initially, Apollo may not secure a majority, but a third source expects it to obtain full control in a later phase.
The club’s current management is expected to remain in place, with the owners potentially retaining a portion of their holdings.
A deal would mark the latest venture into sports by private equity firms, attracted by their stable and predictable revenue streams.
Spanish publication Expansion first reported the talks concerned a majority stake sale, adding that a deal would value the club at 2.5 billion euros ($2.9 billion).
The three sources, who cautioned that a deal is not guaranteed and negotiations could still fall apart, spoke on condition of anonymity because the talks are private.
Apollo and Ares declined to comment. Gil Marin and Cerezo declined to comment through a representative.
The three investors own about 70% of the club through Atletico Holco. The remainder is owned by shipping and energy group Quantum Pacific, according to the club’s website.
A representative of Quantum Pacific was not immediately available to comment.
Apollo has three months of exclusivity, running until mid-October, to invest in the club, one of the people said.
Atletico Madrid has said it would need to undertake a capital increase of at least 60 million euros to invest in the squad and build sports and leisure projects around its Metropolitano Stadium in Madrid. It added that it would bring in new partners to invest capital.
New York-listed Apollo, which manages more than $800 billion in assets, is planning to launch a $5 billion sports investment vehicle, the Financial Times has reported.
The global sports sponsorship market is expected to reach $115 billion in 2025 and, at the current growth rate, will top $160 billion by 2030, according to consultancy firm PwC.
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