According to Mundo Deportivo, Real Madrid's future corporate model has become a central issue in the presidential election. Florentino plans to establish a commercial company within the club, with an initial valuation of approximately 10 billion euros. If about 5% of the equity is sold, approval from the Spanish Higher Sports Council (CSD) will not be required.
Real Madrid's future corporate model has become a focal point of this presidential election. This issue has intensified, especially after candidate Enrique Riquelme made strong remarks against incumbent president and candidate Florentino this Sunday. The controversy stems from Florentino's previous statements in an interview with El País, where he further elaborated on the model he wishes to promote. If he wins the Real Madrid member vote next Sunday, he plans to formally launch this scheme.
Mundo Deportivo previously provided a detailed interpretation of this plan. The report states that Florentino hopes to establish a commercial company within the club, with an initial valuation of approximately 10 billion euros. About 95% of the equity would be owned by the club, with the remaining portion held by external investors, who could be funds or other enterprises. According to the Spanish Capital Companies Act, external investors must hold at least 5% of the shares. This proportion could also increase further in the future, for example, to 10%, or even 24%. In other words, if investors hold 5% of the shares, they would need to invest 500 million euros; for 10%, 1 billion euros; and for 24%, 2.4 billion euros. Regardless of the above scenarios, Real Madrid would not need to transform into a sports public limited company, nor would it lose its club identity. The Spanish Sports Law, which came into effect in 2022, has clear provisions on this.
According to this law, selling 5% of the equity does not require approval from the Spanish Higher Sports Council, nor even a declaration. If the sale proportion increases but does not exceed 25%, only notification to the Spanish Higher Sports Council is required; approval is only needed in advance if this proportion is exceeded. As Florentino previously stated, this model will first be submitted to the General Assembly of Members for deliberation, and after approval, it will proceed to a member referendum. Real Madrid will only move forward with this reform if the members ultimately agree.
Another candidate, Riquelme, stated that if elected, he would not promote this change. In fact, he even promised to sign a related guarantee before a notary.