Newcastle owners PIF want £260m business deal that could produce the next Kylian Mbappe

Newcastle United owners the Saudi Public Investment Fund are eyeing their next big acquisition.

The owners, who bought the club for £305m in October 2021, command assets of over £700bn and have made football a key target market as they seek to diversify away from fossil fuels ahead of 2030.

This has since PIF invest heavily in the Saudi Pro League, where they are not anchored by the same Profit and Sustainability (PSR) constraints as Newcastle are in the Premier League.

Saudi Arabia have also effectively won the rights to host the 2030 World Cup given that there are no other bidders in the process.

However, while Saudi’s ambitions are global in nature, PIF chairman Yasir Al-Rumayyan remains intently focused on European football.

And the group’s latest ambition could have a profound positive impact on Newcastle, the jewel in their sports portfolio crown.

PIF-funded group eyeing AS Monaco takeover

As reported by The Times, a Saudi Arabian group has a serious interest in taking over Ligue 1 side AS Monaco.

The historic French club, who are valued at around £260m, are currently owned by Russian multi-billionaire oligarch Dmitry Rybolovlev.

A huge component of the club’s value comes from their youth production line, which has produced the likes of Kylian Mbappe as well as hundreds of millions of pounds of talent in recent years.

However, it is claimed that the interested Saudi Arabian group’s financial links to the Public Investment Fund could be a barrier.

UEFA’s rules do not disqualify owners from having stakes in more than one club.

But the governing body are clamping down on the model and will not allow two clubs from the same network to play in the same European competition simultaneously from 2025-26.

Newcastle’s owners have been explicit about their ambitions to launch a multi-club network since they bought the club from Mike Ashley.

How Newcastle would benefit from multi-club model

Despite various governing bodies’ efforts to curb the trend, the multi-club model is in vogue at present.

The majority of teams in the Premier League operate under some form of multi-club system, although some – such as Man City’s sprawling City Football Group – are more defined than others.

The benefits are numerous. Using overseas outposts has allowed clubs to use clubs at the centre of the network to work around post-Brexit transfer regulations, for example.

If Monaco and Newcastle were in the same network, there is every chance that the next young talent coming through at Monaco could ultimately end up at St James’ Park.

There are all manner of commercial benefits too, as well as the opportunity for knowledge and resource sharing between clubs.