Newcastle United‘s owners have committed to a £70.4 million cash injection to the club, taking their total investment to £450 million since the Saudi Arabia Public Investment Fund took over them.
The money pushed into the club won’t be in the transfer market. Instead, it will be to improve the day-to-day administration and infrastructure of the club. This means that the extra money won’t be objectionable under UEFA’s financial fair play rules.
Newcastle United receive cash injection for off-field improvement
Darren Eales, CEO of Newcastle, said in a statement: “We are at the beginning of a long-term plan that aims to build a club that can compete consistently at the highest levels of English and European football.
“We need to develop the whole business, as well as the playing squad. And we need to do so while adhering to the Financial Fair Play rules. This additional investment further enables us to continue implementing the business plan.”
Newcastle United have the wealthiest owners in the world right now, and it is something that has been seen negatively by rivals. The perception is that their spending has no limits, which is not completely true.
Like Manchester City, the Magpies are very calculative with their spending. And the investments into the club will make for more revenue generation, which is one of the reasons why City have become so successful.
