Crypto companies are making wider entry to conventional businesses after USDT stablecoin issuer, Tether, offered a $1 billion bid to acquire Juventus Football Club. The proposal contained a public tender to make a purchase of outstanding shares at the same price pending the approval by regulators.
Tether Seeks Ownership Control of Juventus
Tether, in an official statement, confirmed that it has made a binding offer to Exor. In Juventus, there is a 65.4% stake by the Agnelli family through Exor, its holding company.
Juventus stock jumped following the offer. The market cap of the club’s stock is now nearly $1.16 billion (1 billion euros). This showed renewed interest from investors as the update about the takeover spread. Also, the valuation of Exor’s present stake is approximately $629 million (540 million euros) based on the current stock price.
Tether is ready to inject up to 1 billion euros in other club investments, which will happen in the event of a successful deal. The offered investment comes after scrutiny of the company by industry observers. The financial health and solvency of Tether have been called into question. Nevertheless, CoinShares indicated that the firm is not financially weak.
Tether said that Juventus is an international organization with substantial and sustainable commercial and sporting potential. The decision to make the bid is largely due to the commitment towards credible investment and further growth for Tether as mentioned by CEO Paolo Ardoino.
Will Agnelli Family Sell Its Juventus Stake To Tether?
The offer comes after a previous investment by Tether into the football club. The crypto company initially made a minor stake earlier this year.
Subsequently, it upgraded to over 10% ownership in addition to board representation, which boosted its influence in the club’s management. This step adds to the approval of USDT by Abu Dhabi regulators, strengthening its use by global institutions.
For the family of Agnelli, Juventus FC is an asset that represents the identity of Italian sports. Through Exor, the family has had more than 100 years of ownership in the club. In addition, Juventus is one of the key reasons why the nation’s domestic league (Serie A) gains significant revenue, gets requests for sponsorship and media coverage globally.
The bid indicates the rising interest of crypto companies in conventional ownership structures. Crypto companies are diverting their profits into industries like sports, media and infrastructure.
Will Crypto Wealth Change Elite Sports Ownership?
The USDT issuer has also expanded its business beyond stablecoins by investing into artificial intelligence, energy, and other sectors. This includes the tokenized gold treasury plan by Tether, which is an indication of a move towards asset-backed financial products.
Its Juventus offer suits a broader move to have a diversified portfolio, which includes investments globally recognized brands. Regardless of the deal being successful or not, the message is obvious.
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