FIFA plans to raise $4.2 billion via stake sales in new subsidiary, angering UEFA

July 28 : FIFA said on Tuesday it plans to create a new commercial subsidiary valued at $20 billion, offering a stake of up to 20 per cent to external investors in a move that faced immediate sharp criticism from Europe's UEFA.

Under the plan, the world soccer governing body would establish FIFA Forward Enterprise (FFE), a subsidiary consolidating the organisation's commercial and event operations.

FIFA, which just held a 48-team World Cup across the U.S., Canada and Mexico that was the biggest in the tournament's history, would retain control of the enterprise, but offer stakes to private investors to raise up to $4.2 billion.

A vehicle founded by Joshua Kushner, the brother of Jared Kushner, U.S. President Donald Trump’s son-in-law, is expected to be a lead investor in the enterprise, a source said.

The proposal deepens the divide between Switzerland-based FIFA and European soccer's governing body UEFA, with Europe positioning itself as the custodian of the game while FIFA, a not-for-profit organisation, remains focused on broadening access with financial largesse.

Under the proposal, FIFA would invite external investors to purchase minority, non-controlling stakes in FFE. It said it would retain sole control as well as "exclusive authority" over football governance, competitions, the match calendar and all regulatory and sporting decisions.

FIFA is one of the world's wealthiest sporting organisations, generating billions of dollars in revenue, largely from broadcasting rights, sponsorship and other commercial deals linked to the World Cup.

But it says the money raised can be used to widen access to the sport and strengthen global participation, with all net benefits to be reinvested in the game.

"Football is the world's most