Wolves’ deal to sell Jhon Arias to Brazilian side Palmeiras also brings a small financial boost for his former club Fluminense, thanks to a clause agreed long before this saga gathered pace.
Brazilian journalist Venê Casagrande explains that Fluminense are entitled to 10% of the profit Wolves make on the transfer. When Arias left Rio for England in a €17m (£14.6m) deal, the clubs included a sell-on clause linked to future capital gain.
Now Wolves are set to sell the Colombian to Palmeiras for €25m (£21.5m). That creates an €8m (£6.9m) profit for the Premier League side. As a result, Fluminense will receive €800,000 (£690,000) from the transaction.
Brazilian confusion over Wolves sell-on clause
Jhon Arias whilst at Fluminense
Jhon Arias whilst at Fluminense
The situation also clears up a common point of confusion in Brazil around Fluminense’s sell-on clause. As reported by local journalist Gabriel Amaral, when Arias was sold to Wolves, the Brazilian club stated they had retained 10% of a future sale. However, the clause applies only to the profit made by the English side, not to the full transfer fee.
Had it been 10% of the total €25m (£21.5m) deal, Fluminense would have received €2.5m (£2.15m). Instead, because the clause is tied to capital gain, the payment is limited to 10% of the €8m (£6.9m) profit, resulting in a return of €800,000 (£690,000).
That payment effectively wraps up Fluminense’s role in the story. The club could not stretch far enough to re-sign Arias. Even so, they still benefit financially from his return to Brazil.
Venê Casagrande also reports that Palmeiras will pay the fee in instalments over four years, with two payments per season. The clubs have already exchanged documents, and Arias is set to sign a four-year contract in São Paulo.
The sell-on clause applies automatically, the player is on board, and the remaining steps are procedural. At this stage, the Arias transfer feels less like a negotiation and more like a deal being signed off. He already signed a pre-contract with Palmeiras and will be off to Brazil anytime now.