Can the League still leave? Understand what is changing in the latest Libra, LFF and Grupo União games

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A Liga ainda pode sair?   Entenda o que está mudando nos últimos jogos da Libra, LFF e Grupo UniãoThe soap opera surrounding the possible creation of a Brazilian club league has gained new – and important – chapters in recent days. Side changes, signings and advances shook the Brazilian Football League (Libra) and Liga Forte Futebol (LFF) scenarios and changed the general panorama of negotiations. Below, Lance!Biz breaks down the latest events and shows how each block stacks up in this game of chess. After all, can there still be a single league to host the Brasileirão? + Libertadores: Brazilian clubs face the most valuable clash in the round of 16; see x-ray related to Vasco Understand how Vasco's agreement with Serengeti and LCP affects the search for reinforcements in this window Vasco 07/06/2023 Sports Market Vasco joins the União Group and signs an agreement with Forte Futebol Investors in the Sports Market 07 /06/ 2023 Sports Market Saudi Arabia bets heavily on sport with new multibillion-dollar investment group Sports Market 06/07/2023 What were the latest news? > The first big news happened on Friday, June 30th. At the General Assembly, 21 LFF clubs signed agreements to sell 20% of Brasileirão TV rights to investors Serengeti and Life Capital Partners (LCP) for the next 50 years, starting in 2025 – read more here. > This week migrations changed the scenario. Former members Libra, Botafogo, Vasco and Cruzeiro signed with the same investors as Forte Futebol and also formed Grupo União, part of the new bloc – click here for more information. > The last major move took place this Friday, July 7, when Libra clubs signed an exclusivity agreement with Mubadala Capital, a fund from the United Arab Emirates. Signing the document does not constitute an immediate sale of rights, but rather a commitment from the clubs that they will only access the market as a whole and through Libra – see details here. > It is worth mentioning that Atlético-MG, Inter, Náutico and ABC belong to Forte Futebol, but have not yet signed an agreement with investors. Launch! It was even found that there is an expectation that the Rooster will migrate to Libra. What do these movements represent? > The news points to the concern of clubs and investors in ensuring the formation of commercial blocs to advance the sale of broadcasting rights for the Brazilian Championship. Discussions with broadcasters are already underway and will be accelerated as soon as the teams for each group are defined. > Despite having two different contracts, Forte Futebol and Grupo União act as a single bloc in the market. According to Lance's investigation! , is a clause that requires collective negotiation of rights. Forte Futebol forms a block with the largest number of clubs (Photo: Disclosure) >The introduction of a different nomenclature was a strategic move to minimize friction and facilitate the integration of new clubs into the LFF business model. However, this attempt failed with the signing of an exclusivity agreement between Kaalude and Mubadala. > By uniting clubs from both sides, Forte Futebol and Grupo União managed to form a majority commercial bloc. In the current scenario, Serengeti and LCP could negotiate 228 games, which represents 60% of the total, considering this year's Series A. > Mubadala, on the other hand, managed to negotiate 152 matches (40%). This calculation is made by multiplying the number of clubs in each block by 19 (number of matches that each team played as home team). > However, this difference does not guarantee which block will achieve better values ​​on the market. In addition to the number of matches, factors such as the audience, the size of the audience and the weight of exclusive games are taken into account when negotiating with interested broadcasters. Bloco da Libra has clubs with bigger fans (Photo: Disclosure) After all, is there still a chance of a league? > The formation of two (or three) commercial blocs excludes the possibility of a unified league in this first phase. The focus of each group is currently on launching their respective packages and valuing broadcasting rights in “semi-centralized” negotiations. > This is undoubtedly an improvement over the current scenario where each club negotiates individually. However, there is a consensus that the formation of a league and the centralized sale of all teams could add more value to the “Brasileirão” product. > In addition to the centralized sale of television rights and other assets, the league would have the task of organizing the championship and its calendar, taking care of arbitration and eventually even creating a financial fair play system to maintain the financial health of the associations. > Is it possible that the blocks will have to negotiate rights separately in the coming months and then come together to form a league? Yes, but it's unlikely. In addition to an agreement between the clubs, this scenario would depend on an understanding between investors on each side. Follow Lance! 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