The return of the Galácticos


Author: Jason Traub

Posted: 29.07.19

Share article

The era of the Galácticos is back in La Liga. On the pitch, both Madrid teams just missed out on the Champion’s League final in 2019 and there seems to be a gradual shift from the old guard at Catalan giants FC Barcelona.

Off the pitch however, the bigger clubs in Spain are looking to flex their muscles financially in the transfer market and with their commercial enterprises.

Recently, Real Madrid reportedly sold its sponsorship rights for an upfront payment of $224 million over the first four years of the deal. Last season represented the start of Barcelona’s $246 million shirt sponsorship deal with Japanese e-commerce group Rakuten, as well as the start of a ten-year kit agreement with Nike worth at least $174 million annually. These are big figures that reflect the current global commercial market in the football world.

In what is looking like the most expensive summer transfer window of all time, Real Madrid President Florentino Perez has responded emphatically recruiting a new star player to wear the famous 23 shirt: Eden Hazard is the headline arrival of course, completing his move from Chelsea for a fee which could rise to a record-breaking fee for Real at a total of $160m. Joao Felix has joined Atletico Madrid from Benfica and Barcelona have just completed the signing of Antoine Griezmann, adding further star power to their squad.

All the figures quoted in the newspapers seem to be huge, but these clubs have recognised that there needs to be new funding and different capital solutions to their squads if they are going to compete in the larger tournaments against the best teams.

This is where 23 Capital plays its part. As one of the leading cross border lenders in European football, our team of football specialists have deep sector knowledge enabling them to deliver capital solutions which help our partners and clients across the globe realize their ambitions both on and off the pitch.

Tags: Football, Sports

Suggested reads

08.04.20 | Insights

How will covid-19 impact on county cricket’s finances?

For cricket counties, the battle for financial solvency is nothing new, but the delays that covid-19 is imposing on the upcoming season have potentially serious and far-reaching ramifications.

02.04.20 | Insights

Why esports isn’t just having a moment amid coronavirus outbreak

In the absence of some of the nation’s favourite sporting staples – namely Champions League nights, Gillette Soccer Saturday and Super Sunday – sports fans up and down the country are turning to something different to get their regular fix: esports.

27.03.20 | Insights

The current challenges surrounding Covid-19

23 Capital Co-founder Stephen Duval takes a closer look at the effects of the coronavirus outbreak and the implications this will have on those within the sports, music and entertainment industries.