LONDON – Credit ratings agency DBRS thinks soccer clubs in Europe will find it increasingly attractive to raise capital in equity and debt markets as a result of their "more sophisticated" business models.
In a report Thursday, the agency said the value of sports franchises and soccer clubs has increased significantly as teams have monetized their brands.
It notes that for the top clubs, the on-pitch performance of a team is not as important as it used to be when assessing credit risks. More important are the popularity of the league concerned and the strength of a team's brand. AC Milan was noted as one big club that's managed to cope with a period of poor sporting results.
Revenue stability and diversification are considered "key aspects" in creditworthiness.