July 31 (Reuters) – FIFA announced on Friday that it will abandon its plan to sell a portion of its business to external investors following strong opposition from several member associations.
The original plan aimed to generate up to $4.2 billion by selling approximately a 20% stake in a new entity responsible for managing FIFA events, including the World Cup, with an overall valuation of $20 billion.
European soccer’s governing body, UEFA, led the opposition against the proposal, which was first revealed on Tuesday. UEFA threatened to boycott and accused FIFA of commercializing the sport’s core values.
“After thoroughly considering all perspectives, it is evident that the project has caused divisions that, regardless of support level, are contrary to the initial objectives,” stated FIFA President Gianni Infantino. “Our mission has always been to unify and enhance. Consequently, this proposal will not advance.”
Earlier on Friday, Carlos Cordeiro, a senior adviser to Infantino, resigned immediately, labeling the plan as “a bad deal for football.”
FIFA’s Chief Operating Officer, Kevin Lamour, expressed that staff felt “deceived” by Infantino, referring to the proposal as a “project of one person.”
British Prime Minister Andy Burnham remarked on Friday that Infantino was “the wrong man to lead the organisation.”
