Qatar’s Investment Strategy in France: A Shift in Focus
In a surprising turn of events, Qatar’s investment vehicles are reportedly cooling their interests in France, including the majority owners of Paris Saint-Germain (PSG). This revelation comes from sources who have spoken to ESPN, shedding light on a significant shift in the investment landscape.
The Qatar Investment Authority (QIA), which is the country’s sovereign wealth fund with an estimated €500 billion in assets, along with PSG’s majority ownership group, Qatar Sports Investments (QSI), have already begun to slow down their investments in France. This change in strategy has been ongoing for over a year, and sources emphasize that it is not a reaction to the investigation involving PSG president Nasser Al-Khelaifi.
Al-Khelaifi is currently under investigation in France for possible corruption, but it’s important to note that this investigation does not relate to his activities at PSG. Instead, it concerns his links to a French businessman, as confirmed by a judicial official to The Associated Press. The charges include complicity in the alleged buying of a vote, harming the freedom to vote, and complicity in abuse of power to the detriment of the Lagardere group. In France, preliminary charges mean that the suspect could either be freed if the investigation yields no evidence or formally indicted and sent to trial. Al-Khelaifi has denied these charges.
A source close to Al-Khelaifi told ESPN, “This file has absolutely and emphatically nothing to do with Nasser Al-Khelaifi, but as usual, he will get dragged through a completely spurious process as a famous name, who is apparently responsible for anything and everything, until everything quietly disappears without any grounds whatsoever in a few years.”
Qatari officials have been contemplating their position in France for some time, expressing frustration over what they perceive as unfair treatment from local media, the French justice system, and national politicians. QIA owns a significant number of properties and hotels in Paris, among other business interests, but it has already started selling parts of its French portfolio.
France was once a priority market for QIA, QSI, beIN Media Group, and Qatar’s other investment arms. QSI acquired PSG in 2011 and has since overseen significant investments in the transfer market, bringing in star players like Thiago Silva, Zlatan Ibrahimovic, Kylian Mbappé, Neymar, and Lionel Messi. This investment has resulted in 10 Ligue 1 titles and numerous other domestic honors over the past 13 years, although the club has yet to achieve QSI’s ultimate goal of winning the Champions League.
In December 2023, American investment fund Arctos, in partnership with NBA star Kevin Durant, acquired a minority common equity stake in PSG. This move demonstrated QSI’s desire to attract outside investors to the club. Additionally, QSI has expanded its investment portfolio beyond France, including a minority stake in Portuguese club Braga.
Meanwhile, beIN Media Group, which owns the broadcast rights to Ligue 1 through beIN Sports, has been engaged in investment talks with Saudi Arabia for over a year. It has also reduced its overall spending on media rights in France.
- Qatar’s investment vehicles are cooling their interests in France.
- QIA and QSI have slowed down their investments in the country.
- The change in strategy is not related to the investigation involving Nasser Al-Khelaifi.
- Qatari officials are frustrated with perceived unfair treatment in France.
- QSI has expanded its investment portfolio beyond France.
Information from the Associated Press contributed to this report.
Originally Written by: Julien Laurens
