Newcastle United has been acquired by a Saudi Arabian consortium, the Premier League announced on Thursday, Reuters reported.
“Following the completion of the Premier League’s Owners’ and Directors’ Test, the club has been sold to the consortium with immediate effect,” the Premier League said.
The consortium includes the Saudi crown prince’s $430 billion sovereign wealth fund PIF, which is crucial to the country’s strategy to create new sectors and diversify its revenue away from oil.
Earlier on April 9, 2020, the investment group, which also includes PCP Capital Partners and Reuben Brothers, made a bid for the north-east club from British businessman Mike Ashley for 305 million pounds ($415.07 million).
This deal collapsed in July 2020 due to the Premier League’s concerns over alleged Saudi broadcast piracy.
“The Premier League, Newcastle United Football Club and St James Holdings Limited have today settled the dispute over the takeover of the club by the consortium of PIF, PCP Capital Partners and RB Sports & Media,” the league said as reported by Reuters.
In this piracy case, Qatar-based beIN Sports, the Middle East’s rights holder for the Premier League, was banned from operations in Saudi Arabia.
On Wednesday, Saudi Arabia lifted the ban, removing the greatest obstacle to the Newcastle deal.