According to what I see on Twitter, They gave away 49% of their licensing and Merchandising rights. As well as 25% of there TV rights
How does that actually work? How do you sell already expected income to make income, and who is it that's paying for what.
They have passed the rights to receive that money to whoever the buyer is (likely a bank or other financial investment institution) for a fixed fee. Because its sold upfront for cash, that will be for less than what they will have expected to actually receive. But barca saying they need the cash now (despite for lower value) than waiting for the income over the years.
In the profits they will recognise the 700m over the time of the actual rights so they’ll be worse off in their profits than if they hadn’t done this but they get a big cash injection now to do what they want.
Its either desperate or stupid or both.
Either way, a club like barca with a 700m cash injection tends to waste it pretty quickly. Expect that to go on the squad rather than on facilities or bringing down their debt.
Looks like Lewandowski and Kounde will be first in the door. Actually dont think Bernie goes anywhere