June 7, 2024
The takeover of West Ham United has never seemed less likely following recent events. Karren Brady was recently sent to the Middle East for a second attempt to secure new investment for the club, but the mission ended with no new interest from potential investors.
This trend is not unique to West Ham. Many potential investors are deterred by current FFP (Financial Fair Play) and PSR (Profitability and Sustainability Regulations) rules, which limit the ability of even the super wealthy to inject significant funds into a club. This issue extends to the Championship, making it almost impossible for wealthy owners to elevate second-tier clubs to compete with Premier League teams.
The Newcastle situation has also impacted sports investment sentiment. Despite having the world's largest financial backing, they might be forced to sell key players cheaply to comply with PSR rules.
With Daniel Kretinsky's reluctance to become the major shareholder at West Ham, it looks increasingly likely that the club will remain under its current ownership. Should Manchester City succeed in their legal challenge, it might open new avenues for overseas investors, but a Roman Abramovich-style takeover seems highly improbable in the current climate.
Stay tuned for more updates on this evolving situation.
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Good for Nothing Safety by Twin Musicom is licensed under a Creative Commons Attribution 4.0 licence. https://creativecommons.org/licenses/by/4.0/
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