By Samindra Kunti
March 18 – Belgian champions Club Brugge have launched an initial public offering (IPO) in a deal that could value the club at €229 million, with chairman and majority shareholder Bart Verhaeghe selling at least 30% of the Belgian Pro League outfit with shares priced between €17.5 and €22.5.
Brugge will join a select group of European teams in listing on the stock exchange. Borussia Dortmund, Ajax, Lyon, Juventus and Manchester are some of the continental heavyweights having shares listed in public markets.
“The launch of our IPO presents a great opportunity to invest in a sustainably profitable football club that occupies the sweet spot in a growing international market,” said Bruges CEO Vincent Mannaert.
Verhaeghe will remain club chairman as well a main shareholder. “We believe the best is still to come and we will therefore remain committed shareholders of the company as we look forward to continuing our great journey with Club Brugge,” said Verhaeghe.
Club Brugge recorded a turnover of €120 million for the 2019/20 season including a €49 million profit on player sales. The club are looking to replace their antiquated Jan Breydelstadion with a new stadium on the same site. In 2020, plans were announced for a €100 million, 40,000 seat venue, which Verhaeghe has described as going from a Lada to a Mercedes.
The prospectus highlights risk factors including infectious disease outbreaks, failure to qualify for European competitions and success in the transfer market, with Brugge positioning themselves more and more as a feeder club for the bigger leagues, overtaking the youth academy of Anderlecht.
Credit Suisse Group AG, JPMorgan Chase & Co., Berenberg and Belfius Bank are working on the listing.
Contact the writer of this story, Samindra Kunti, at moc.l1713990142labto1713990142ofdlr1713990142owedi1713990142sni@o1713990142fni1713990142