PIF are preparing to make a complete sale of one of their multiclub teams
Newcastle United chairman Yasir Al-Rumayyan
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Newcastle United chairman Yasir Al Rumayyan has revealed that PIF will sell its stake in one of the teams they purchased as part of a multi-club model.
Two years ago PIF followed up their purchase of the Magpies from Mike Ashley by taking over Saudi Pro League sides Al-Ittihad, Al-Nassr, Al-Hilal and Al-Ahli. However, the PIF supremo has stated to Middle East TV that a stake in one club will be sold, with insiders believing it will be Al-Hilal.
It is expected that PIF's stake will drop from 75% to 30%, with Prince Al Waleed bin Talal Al Saud, a Saudi billionaire, expected to own 70% of Al-Hilal to begin with. A full sale is then expected by PIF.
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Newcastle's links with Al-Hilal stretch back across recent history with the Magpies using the club's facilities to train during a tour in 2022 and the two teams playing each other in a friendly four years ago when the black and whites won 5-0 in Riyadh.
Newcastle's owners still have an interest in their three other clubs too with Al Rumayyan telling Al-Arabiya Business: "The fund (PIF) will retain its stakes in some clubs without having a majority share of ownership."
Al-Arabiya Business also stated that PIF will announce that sale of its stake in a Saudi sports club within a couple of days.
When purchasing the four clubs in 2023, PIF had said: "[The clubs] have been transformed into companies, each of which is owned by PIF and non-profit foundations for each club.
"PIF's ownership in the clubs' companies represent 75% in each club, while their respective non-profit foundations hold 25% ownership of each club.
"The transfer of the four clubs will unleash various commercial opportunities, including investment, partnership and sponsorships across numerous sports."
After some suggestions that PIF were not committed to Newcastle, a wider statement from PIF governor and United chairman Yasir Al Rumayyan on their global investments, which include United, read yesterday: "PIF’s strategy continues to deliver results as we grow domestically and internationally.
"In less than a decade, we have launched unprecedented projects, including giga-projects and major real estate developments, in addition to unique investments in strategic sectors such as artificial intelligence, gaming and esports, and renewable energy.
"PIF also grew assets under management six-fold and attracted global partners and capital to take part in Saudi Arabia’s transformation.
"PIF will continue to support Saudi Vision 2030 objectives by delivering competitive domestic ecosystems, investing in national champions that have the potential to scale globally, and forming global economic partnerships, building on what has been achieved under PIF’s 2021-2025 strategy."
PIF have pumped in over £500m since buying the club from Mike Ashley in 2021 and injected £45m only last December.