Saudi Arabia’s Ministry of Sport announced the second phase of the Sports Clubs Investment and Privatization Project. As part of this phase, 14 teams from various divisions will be privatized.
First batch of clubs for privatization
In this phase, sports clubs at different levels will be made available for privatization to both domestic and foreign investors. In addition, the first batch of clubs includes Al-Zulfi, Al-Nahda, Al-Okhdood, Al-Ansar, Al-Orouba, and Al-Kholood.
How can investors apply to privatize the first batch of clubs?
Investors can visit the National Privatization Center (NCP) website starting in August 2024 to apply and get the required information if they want to invest in the clubs in the first batch. The next eight clubs to be offered for privatization are Al-Shoulla, Hajar, Al-Najma, Al-Riyadh, Al-Rawda, Jeddah, Al-Taraji, and Al-Sahel.
Alignment with Vision 2030, industry development
This initiative is a collaboration between the Ministry of Sport and the NCP, following a Council of Ministers’ resolution on 2024-07-02 to approve the project document. It continues the project launched by the Crown Prince in June 2023.
The project further aims to achieve the objectives of Saudi Arabia’s Vision 2030 and encourage the business sector to participate in the establishment and growth of the sports industry, benefiting teams, clubs, players, and fans.
Two-track approach to privatization
There are two primary tracks for the project. The first track granted permission for businesses and development organizations to invest in sports teams in return for a transfer of ownership, involving eight clubs. Additionally, the second track, which is now in its second phase, offers several sports clubs for privatization.
Read more: Saudi Arabia’s Qiddiya to host Esports World Cup in Gaming & Esports District
Driving conducive investment environment
Moreover, the announcement aligns with efforts to improve the administrative and financial governance of sports clubs, create a conducive environment for sports investment, and enhance the fan experience through infrastructure development. The project also demonstrates the Ministry’s commitment to helping sports teams become financially sustainable and operate at the highest levels of professionalism while strengthening relationships with businesses.
For more miscellaneous news, click here.
