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Marketing and Sponsorship

Middle East, Asia Boost Investment In Top Football Clubs, Repucom Study Indicates

A new report has "highlighted the growing reach and depth of Asian and Middle-Eastern investment in top-level sports around the world with no sign of any slowdown," according to Michael Hann of REUTERS. Sports marketing research company Repucom's "Emerging Giants" report, which was released on Monday, "examines the trend of investment in sports sponsorship from the Middle East" into European football and from Asia into U.S. sports franchises. Across Europe, $1.5B has been spent by Middle-Eastern investors and groups on team ownership, "while in the last two years alone," Asian businessmen have invested approximately $1.1B in U.S. sports franchises. EPL clubs Man City and Arsenal and League Championship side Nottingham Forest all have Middle-Eastern shareholders, while Paris St. Germain and La Liga side Malaga are 100% Qatari-owned. Abu Dhabi Holdings spent $330M for a 90% share in Man City in '08 and so far its investment "has been rewarded on the pitch with two Premier League titles, an FA Cup and a League Cup." Likewise, Qatar Sports Investments spent $130M for a 100% stake in Paris St. Germain in '11. Middle Eastern brands have also invested heavily in football sponsorship, "with some of the largest European clubs now sponsored by Middle East airlines." Barcelona is sponsored by Qatar Airlines and Man City is backed by Etihad, while Real Madrid, PSG, Arsenal and AC Milan "all carry the Emirates logo on their shirts." During the '09-10 season, shirt sponsorship by Middle Eastern companies was worth about $24.6M. In '14, UAE companies, led by Emirates and Etihad, invested $163M in shirt sponsorship as the Arab state "surpassed Germany at the top of the sponsorship investment table" (REUTERS, 1/11).

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