FC Barcelona, one of the world’s most renowned football clubs, is grappling with a severe financial crisis that could lead to the loss of its star signing of the season, midfielder Dani Olmo, and the initial €50 million ($51.5 million) transfer fee paid for him, Bloomberg reports.
The Spanish top-flight competition, LaLiga, has removed both Dani Olmo and forward Pau Victor from Barcelona’s official roster after the Catalan club failed to meet a January 1 deadline to register the two players. This move has placed the club’s financial stability in jeopardy.
The situation could result not only in the club forfeiting the transfer fee paid in August to acquire Olmo and seeing him sign with another club, but also in Barcelona having to pay his full salary through 2030 while he plays elsewhere. This scenario would deliver a multi-million-euro blow to the team’s already strained finances.
While the club’s financial woes have been mounting for nearly a decade, the crisis has intensified in recent years under Chairman Joan Laporta, who has employed a series of complex financial deals to comply with league regulations.
LaLiga sets salary caps for teams based on their revenue, debt, and losses. Barcelona, which has previously been the only club with a spending limit set below zero, was only able to register Olmo in August after another player suffered a long-term injury. This allowed the club to reallocate 80% of his salary.
Barcelona is still trying to find solutions to its financial issues, notably by trying to convince LaLiga that it will have income from the sale of future rights to VIP seats worth millions of euros. However, LaLiga has stated that this is insufficient. The club’s stadium is currently undergoing refurbishment, further complicating the matter.
Since assuming his current term in 2021, Laporta has pursued a series of deals aimed at bolstering the club’s finances, but these have not always been successful, and most were linked to future income. These deals include selling 25% of the club’s LaLiga media rights to San Francisco-based investment firm Sixth Street Partners, divesting a 24.5% stake in content hub Barca Studios, and securing a stadium-naming deal with Spotify Technology SA.
Furthermore, last year the club announced plans to list its media business on the Nasdaq exchange through a merger with a special purpose acquisition company, valuing the combined entity at $1 billion. However, this deal was ultimately shelved.
