Kieran Maguire: Newcastle United chiefs have just made £2bn financial commitment – ‘this is big’
The Saudi Public Investment Fund have made it clear that they want to make an impact in the world of football beyond Newcastle United.
That is the view of finance guru Kieran Maguire, speaking exclusively to Football Insider about the owners’ motives for investing in the sport.
PIF paid £305million to buy Newcastle in October last year and have since spent close to another £200m on new signings.
Newcastle World reported on Tuesday (11 October) that they have committed to spending £2billion in long-term investment projects in football away from Tyneside.
The Saudis have funnelled cash into golf and combat sports in recent years, and there have also been reports that they want to host a World Cup.
Maguire examined their aims, which he believes are rooted in soft power and a desire to attract attention to the Gulf state.
“PIF’s big financial commitment indicates that they want to have significant involvement in the game,” he told Football Insider’s Adam Wiliams.
“We have already seen something similar in relation to golf. Saudi has seen the success that the World Cup to Qatar and also how places like Dubai have become tourist destinations.
“Sport is a way of attracting interest. Therefore, either owning a team, hosting games or setting up a multi-club ownership model is a way for the Saudi PIF to extend its influence.
“It’s easy to see why they have chosen Newcastle as an outlet for this.”
In other news, pundit tells Newcastle United to sign “next Kieran Trippier” after source’s “cut-price” reveal.