FIFA Plans to Sell Stake in New Subsidiary Amid UEFA Backlash

FIFA has confirmed plans to raise $4.2 billion by selling a 20% minority stake in a new subsidiary at an equity valuation of $20 billion, according to Forbes. The new company, named FIFA Forward Enterprise, is intended to control the nonprofit organization’s commercial and event operations.

FIFA Confirms Controversial Subsidiary Plan and Sets September Vote Deadline

FIFA President Gianni Infantino set a deadline of September 19 for the organization’s 211 member associations to vote on the plan, according to reporting cited by Forbes. Member associations would each receive $20 million in funding if the deal is approved, with annual funds projected to continue increasing through 2038. However, accessing the immediate $20 million payment requires member associations to meet the September deadline.

FIFA belongs to ‘no individual or institution’, blasts former boss Blatter — Photo: Al Jazeera

The proposal has drawn sharp criticism from soccer governing bodies, former officials, and fans. Former FIFA President Sepp Blatter, who led the organization for 17 years until 2015, criticized the plan to create a corporate structure to run the World Cup. If FIFA were transferred into a profit-oriented corporate structure, it would lose its soul, Blatter told Reuters, according to Al Jazeera, adding that the tournament is part of the cultural heritage of world football rather than a commercial asset belonging to executives.

UEFA and Regional Confederations Push Back Amid Boycott Warnings

European soccer governing body UEFA stated that FIFA’s plan is to use our sport to enrich themselves and their friends, as reported by BBC. UEFA organized an emergency meeting following the announcement, with French sports minister Marina Ferrari emphasizing that European stakeholders must speak with a single voice on a project that could profoundly transform the sport, according to statements reported by Forbes.

FIFA president Gianni Infantino looks on from the stands during a match at the 2026 World Cup — Photo: BBC

European confederation stakeholders are reportedly considering potential boycotts of FIFA events, including the men’s World Cup, the Women’s World Cup, and the Club World Cup. The Football Association (FA) of England stated it was completely unaware of the proposal before its public release and voiced deep concern over the lack of process, governance, and transparency, according to sports.yahoo.com.

Concacaf, representing North and Central America and the Caribbean, also expressed deep concern over a lack of due process, stating that details were shared publicly before any discussion with relevant governance bodies took place, as detailed by sports.yahoo.com. Despite widespread opposition, the Czech Republic Football Association struck a different note, with president David Trunda telling Sky News that he sees pragmatic and positive benefits from working closely with Infantino’s team, according to sports.yahoo.com.

Financial Backing and Future Leadership Questions

The restructuring plan has also raised questions regarding potential private equity involvement and future leadership roles. According to Forbes, Infantino is up for reelection next year but is term-limited after 2031, and sources told The Times that he could potentially serve as a commissioner or chief executive of the new company after his final term, though Infantino later told the paper the idea had never been discussed.

UEFA Threaten World Cup Boycott Over FIFA $20 Billion Plan #UEFA #FIFA #WorldCup

Additional reports indicate that American business associates were consulted about the change, including an investment firm called Thrive run by Joshua Kushner, the brother of Donald Trump’s son-in-law Jared Kushner, as noted by thesun.ie. With mounting pressure from fan groups, former administrators like David Bernstein, and regional federations, European leaders face a tight window to determine their formal response ahead of the September vote.

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