States of the game - from Bahrain Victorious to LVMH and France
The geopolitical economy of impending FC Paris sale is significant
Red Bull looks set to acquire a 15% stake in French football club Paris FC.
Inevitably, this has drawn the attention of those who routinely comment on the pros and the cons of franchise football, also of those speculating about its commercial implications.
However, it is the other entities that are either buying into the club or else selling their shares in Paris FC that of more interest.
Existing majority shareholder, Pierre Ferracci, will sell a controlling stake (55-56%) to the Arnault family and retain around 30% ownership of the club.
Bernard Arnault founded LVMH - the world's largest luxury goods company - whose brands include Moët & Chandon, Hennessy, and Louis Vuitton.
It seems that the Kingdom of Bahrain will dispose of its existing 20% stake in the club.
LVMH has been described as a state within a state, given the significant influence it has over French government, culture, and across industry.
Earlier this year, French president Emanuel Macron presented Bernard Arnault with France’s highest award.
At the ceremony to mark this award, Macron talked of Arnault being able to “sell a form of eternal Frenchness.”
Meanwhile, Ferracci is an old trade union acolyte of Macron’s, whilst his son was a witness at the president’s wedding.
As for Bahrain, the French president has often praised its king for his openness and the reforms he has introduced, which runs counter to prevailing European narratives about him.
The sale of Paris FC is far less about franchise football than it is about France, domestic politics, its approach to soft power and diplomacy, and the increasing influence of geopolitical economy on sports investments.