FIFA plans to sell stakes in $20 billion subsidiary to run World Cup, angering Uefa

New York. FIFA said on Tuesday it plans to create a $20 billion subsidiary to manage the World Cup and its other competitions, offering up to a 20 percent stake to external investors in a move that prompted a furious response from UEFA, which accused world football's governing body of putting the game's "soul" up for sale.

Under the proposal, FIFA would establish FIFA Forward Enterprise (FFE) to oversee its commercial and event operations.

FIFA, which recently staged the first 48-team World Cup across the United States, Canada and Mexico — the largest in the tournament's history — would retain control of the enterprise while offering minority stakes to private investors to raise up to $4.2 billion.

A vehicle founded by Joshua Kushner, the brother of Jared Kushner, US President Donald Trump's son-in-law, is expected to lead the proposed investor group, FIFA said.

The proposal deepens the divide between Switzerland-based FIFA and European football's governing body, UEFA, with Europe positioning itself as the custodian of the game while FIFA, a not-for-profit organisation, focuses on expanding access through greater financial investment.

FIFA is one of the world's wealthiest sporting organisations, generating billions of dollars from broadcasting rights, sponsorships and other commercial deals linked to the World Cup.

It says the proposal would increase funding for the global development of football, with all net proceeds reinvested in the game.

"Football is the world's most popular sport and an extraordinary engine of human and social development," FIFA President Gianni Infantino said.

"Parts of the game have turned that popularity into remarkable commercial value, and we celebrate that success because it lifts the whole game.

"Our job is to make sure the rest of football grows with it. FIFA exists to support sustainable, inclusive development in every corner of the world."

FIFA said it would retain sole control of the subsidiary, as well as exclusive authority over football governance, competitions, the match calendar, and all regulatory and sporting decisions.

Fierce criticism from UEFA and others

The proposal drew strong criticism from UEFA, which said it "crosses a line that football's governing institutions should never cross."

"UEFA takes it extremely seriously," it said in a statement. "So should every national football association. So should every stakeholder — leagues, clubs, players, supporters, governments and everyone who cares about the future of the game.

"The soul and governance of football are not assets to trade, especially with zero transparency over who stands to benefit financially. None of us owns football. It is not FIFA's to sell."

Relations between UEFA and FIFA have deteriorated in recent years. UEFA President Aleksander Čeferin refused to attend the World Cup final following disagreements over disciplinary procedures, refereeing logistics and match operations.

A FIFA spokesperson said the proposal would soon be presented to its 211 member associations and the FIFA Council, which would have the final say.

FIFA said funds raised would finance an optional programme allowing member associations to access up to $20 million in one-off capital for infrastructure, coaching, national teams, competitions, grassroots football and the women's game.

That amount would increase to $24 million during the 2035–2038 cycle.

Infantino, who is seeking re-election as FIFA president next year, said every member association should have the opportunity to access a fair share of the funding.

"This is about the democratisation of football worldwide," he said.

Britain's new Prime Minister, Andy Burnham, joined critics of the proposal, saying on social media that football does not belong to investors.

"The World Cup is not a product. It is the greatest competition in world sport, and it was never anyone's to sell," Burnham wrote on X. "Dress the deal up however you like. Once you have sold a piece of it, you have sold out."

Richard Sheehan, a finance professor at the University of Notre Dame who studies the economics of sport, described the proposal as "a money grab" by FIFA's current leadership.

"From the perspective of a not-for-profit organisation that is supposed to make football accessible to everyone, this move is a farce," he said.

External investors

FIFA said it is working with bankers at JPMorgan to bring in external investors, adding that former Liberty Media chief executive Greg Maffei has been acting as a commercial adviser.

Joshua Kushner-founded Thrive Eternal, a new investment strategy launched by venture capital firm Thrive Capital, is expected to lead the investor group.

The permanent investment vehicle, which focuses on long-term investments in sports franchises and cultural institutions, acquired a minority stake in Major League Baseball's San Francisco Giants earlier this year. Former Walt Disney chief executive Bob Iger serves as an adviser.

A source said Jared Kushner is not among the potential investors.

JPMorgan and Joshua Kushner declined to comment, while Maffei did not immediately respond to a request for comment.

"Outside investors will hold only a minority stake in FFE and will have no operational role," FIFA said. "They are investing in a FIFA subsidiary, not in FIFA itself. For FIFA, nothing changes."