Chinese Consortium invests $400m in CFG

[Tricky_Trev]

I think what we can forget vey easily is that there may well not be another Sheikh Mansoor or Khaldoon in the world. What we tend to think of when the Sheikh is mentioned is his enormous personal wealth, but that isn't the half of it. He is a very influential personality on a political and global level , as is Khaldoon and their web of personal contacts and friendships involves anyone with any real claim to be anyone. It is this second quality which was important to this agreement and the knowledge that what the Sheikh offers is a true partnership with a real CFG presence in China to help China fulfil her football aspirations. The CFG is offering to help China become a real power in world football. No other football club can come anywhere near and is stuck trying to flog a few more shirts in China. The Glazers, FSG, Stan Kroenke are too wedded to there break even/show a profit model of restrictive practices and Abramovitch doesn't have the access to the corridors of power and influence (in common with the others) to achieve anything like this. As Khaldoon said, this is a strategic, long term partnership not a quick boost to turnover.

True mate. He makes a mockery of the bitters that have convinced themselves this is just the "plaything" of a bored billionaire. Absolutely laughable!

 

[gordondaviesmoustache]

I'm seriously confused. Last time I was in Stockport I didn't see a single City shirt.

 

[Bluearmy]

True mate. He makes a mockery of the bitters that have convinced themselves this is just the "plaything" of a bored billionaire. Absolutely laughable!

Good posts on here...!! I work for one of the big Logistics companies. Deal with China everyday. To do business there can be fairly complex with various Licences, permits required to even function. However, to achieve some of these, you have to be of Chinese origin. And even then can be difficult to obtain. this partnership doesn't just give us access to significant players in the Chinese market, it is state backed to boot. Forget shirt sales abroad or amount of Twitter followers claimed to be had. This doesn't drive real revenue growth (2 or 3% of total revenue at the Rags I believe). This as others have said is about commercial deals, sponsorship, TV subscriptions. All these will dwarf the old school streams such as ticket sales, shirts, or even corporate. Expect a club in China (Shanghai) next then possibly Africa. S.America may prove more difficult! The next round of deals should go through the roof compared to the previous ones. And that's with China in its infancy. Imagine 5, 10 years down the line as that market matures!!

 

[George Hannah]

I'm seriously confused. Last time I was in Stockport I didn't see a single City shirt.

You must have been very confused to find yourself in Stockport in the first place.

 

[The Light Was Yellow Sir]

I'm seriously confused.

Edited for accuracy.

 

[JASR]

Looking at the cafe moans, I think many fail to grasp the very different financial company(s) structures between city and United.
Then add on who/what the Chinese investors are, and the doors and leverage that they come with in the worlds largest untapped football market.
I think, as echoed here by many, the scope and breadth of the plans since 2008 keep coming as massive pleasant unexpected shocks.

The list of progressions is getting very long, with no sign of ending, and you can clearly see a global well thought out progressive strategy unfolding.

The antics of uniteds financial/PR wizards, who might think they are Giants, but in reality are very small-time, will be interesting to see if they ever decide to join the dance at the same level.

 

[city saint]

but I thought we only had his arab mates that gave us funding,ha ha ha everyones salty tears are tasting luverly jubbly

 

[Bodicoteblue]

Looking at the cafe moans, I think many fail to grasp the very different financial company(s) structures between city and United.
Then add on who/what the Chinese investors are, and the doors and leverage that they come with in the worlds largest untapped football market.
I think, as echoed here by many, the scope and breadth of the plans since 2008 keep coming as massive pleasant unexpected shocks.

The list of progressions is getting very long, with no sign of ending, and you can clearly see a global well thought out progressive strategy unfolding.

The antics of uniteds financial/PR wizards, who might think they are Giants, but in reality are very small-time, will be interesting to see if they ever decide to join the dance at the same level.

You can begin to understand their dismay though.
In a very short space of time , their club has lost its iconic leader and is sinking into mediocrity , whilst their neighbours are expanding at a rate and a scale the likes of which has never been seen before.
They really are entering into a new world order in football and they are having a seriously difficult time adjusting to it, unless , of course, they were right all along and the sheik really is going to get bored and walk away, as looks increasingly obvious!

 

[kunaguero10]

With the seemingly inevitable success of CFG can we expect other clubs, with the aid of wealthy backers, to set up competing football 'groups'? Surely we can't be left to mop this all up uncontested? Or have we been so far ahead of the game, and so confidential with our dealings, that it's too late for the others? Usually when a new model that's successful comes along, you get imitators. Any of our more informed posters have any thoughts on this and the future footballing 'landscape' in general? (to use Garry Cook's buzzword!)

Good points made by other posters but lets not also forget it isn't just private investment and private motives behind all this. We are backed by the state of Abu Dhabi, and now by the state of China - is that the right term?). Even typing that feels fucking huge.

I think the likelihood of a state/government, of a country is as strong an economic position as AD, wanting to takeover a football club is rare (in any league let alone the Premier League, although Qatar and Kuwait have been linked in the past). But then to find a second government backer, from a world superpower, who has strategic motives and the willingness to buy into the arrangement, is even more unlikely.

Not to mention the key factor being the number of years 'lag time' it would take to catch up.

Its not impossible another club/group could imitate this, but I reckon it would be slightly different with more takeovers and acquisitions of other clubs/academies, rather than going down the organic growth route which we seem to be doing, and starting our own.

 

[BluessinceHydeRoad]

What interests me is the reaction of sport business analysts, football fans of our rivals and some pundits. It is a mantra for the said fans and almost part of the creed of the analysts and pundits to argue that United/Liverpool/Arsenal/Chelsea/Real/Barcelona are "massive in China", "huge in Asia" and to repeat every ten seconds that Real/United/Barcelona are richer than City, that Arsenal is a "money making machine" and Chelsea are a much "bigger brand" than Manchester City. Can anyone produce any evidence to demonstrate this remarkable collection of chants? In particular, how do we judge the precise "massivity quotient" of Liverpool, United etc in China? What benefit do these clubs draw from their 700 million fans worldwide?

The evidence seems to me to point in entirely the opposite direction. In 2008 Sheikh Mansour bought a club with an annual turnover of £79 million and to compare it with any of the club's mentioned above was ridiculous. Buying the club and paying off its debts cost £190 million! United were the richest and most valuable club in the world. Today Liverpool are way behind City in terms of revenue (the thick bit of £100 million pa) and are worth just under a third of City's value! Arsenal's revenue is clearly less than City's and now they are worth considerably less than half of City's worth! Seven years on City are within a whisker of United's value and are catching up fast in revenue. Admittedly City are part of a group whereas the others are one club - but which has the better opportunities for growth - a group with a real, permanent presence in Europe, the USA, Australia, Japan and now China? Or a club in Stretford? A club in Liverpool? North London? Or Madrid? Barcelona? And we now also exceed Mr Rumenigge's club in revenue and value by quite some way! What are they all actually doing in China and Asia? What will the picture be like when we are actually "massive in China" and "huge in Asia"?!