La Liga clubs gain massive influx to spend on transfers

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La Liga have agreed on a deal with CVC Capital Partners for an injection of €2.7 billion into all 20 teams that are part of the team. 

The operation has been a year in the making and has finally gone through. It will help all clubs from Barcelona and Real Madrid to others like Levante and Valencia that struggled due to the financial cap placed on the wages due to the pandemic. 

According to the rules in place, 15% of the income received from this sponsorship deal can be used to recruit players. This will be determined by the television income generated by the various clubs over the last few seasons. Barcelona will receive the most of all the clubs, projecting a sum worth €270 million. Real Madrid, on the other hand, can expect a sum close to €261 million. 

La Liga are not selling their rights, but the investment from CVC will be managed and repaid by the league. They will also pay a fee for the investment. The deal is a risky one since CVC are not covered with any guarantees in case it does not work out. The investment is subject to the approval of all the clubs in the league. 

The influx of cash means that Real Madrid can possibly finance the transfer of Kylian Mbappe, who only has one year left on his deal with PSG. Barcelona similarly will invest in Lionel Messi, who is yet to put pen to paper on a new deal with the Blaugrana. 

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