FILE PHOTO: CEO of LVMH Bernard Arnault and his wife Helene Mercier arrive to attend a state dinner in honor of U.S. President Joe Biden and first lady Jill Biden at the Elysee Palace in Paris, France June 8, 2024. REUTERS/Sarah Meyssonnier/File Photo
PARIS (Reuters) - Since Paris St Germain were taken over by Qatar Sports Investments just over a decade ago the club has become a symbol of global sports ambition and highlighted the absence of another top-tier club in the city, an oddity in European football.
The Arnault family and Red Bull's proposed investment in Paris FC announced on Thursday is set to give the French capital a second top club to bring the city into line.
The Premier League boasts seven London clubs, while the likes of Barcelona, Madrid, Turin, Munich, Manchester, Liverpool and Lisbon each have two historical clubs.
Paris FC would become the second French club owned by a billionaire after Kering's Francois Pinault acquired Stade Rennais in 1998.
The Arnault family is expected to bring at least 100 million euros ($108.22 million) to the project, with the possibility of pushing the budget up to 200 million if the club secures a spot in the top flight next season, which would put Paris FC among the top 10, and possibly five, in terms of Ligue 1 budget.
The financial muscle will be complemented by Red Bull’s vast expertise in sports management and talent development, having built successful clubs around the world through a unique model that nurtures talent and coordinates a global network.
"At least on paper, it's a marriage made in heaven because it serves a purpose for all the stakeholders who are involved," sports analysts Simon Chadwick told Reuters on Tuesday.
"Red Bull brings 20 to 30 years of proven expertise. They know how to develop sports properties, not just sell energy drinks. Their model has shown success in Salzburg and Leipzig, and Paris FC could be their next big project."
FAN BASE
While PSG have capitalised on the city’s status as a global capital of fashion, art, and culture, Chadwick noted that the club's brand was still heavily tied to their Qatari ownership.
"For many people in Paris, PSG has become the face of Qatar, not Paris or France," he explained.
"That has left a gap for a club that could truly represent the city and its people. There is a very real appetite for an aspirational, Parisian football club.
"Young audiences, especially in Generation Z and Alpha, are more open to new models of football, including franchise-style networks like Red Bull’s."
Paris FC have struggled to find a fan base, with the average attendance last season at just under 5,500 in their 19,000 Charlety stadium despite tickets being free since last November.
With a lack of VIP boxes at Charlety, Paris FC might move to the Jean Bouin stadium, home to Top 14 rugby club Stade Francais and situated just a few steps from PSG's Parc des Princes.
It will however soon be time for them to find a sustainable solution.
"Paris is a tough city for infrastructure projects,” said Chadwick.
"But with the Arnault family’s clout and the support of (French president Emmanuel) Macron, there’s a very real possibility that they can navigate the political hurdles and find a home within the city.
"What’s more, this project could create significant economic and social benefits for the city."
Depending on their budget, Paris FC could also challenge the dominance of Olympique Lyonnais and PSG in the French women's top league.
($1 = 0.9240 euros)
(Reporting by Julien Pretot; Editing by Ken Ferris)
