Saudi Arabia’s Public Investment Fund is exploring the sale of up to 25% of its shares in Newcastle United as part of a strategy to raise fresh capital for major infrastructure projects.
The potential deal could generate more than £300 million (€346 million), with the funds expected to support two key developments: a £200 million state-of-the-art training centre in Woolsington, near Newcastle, and ongoing plans for a possible new stadium that could exceed £1 billion in cost.
PIF currently owns 85% of Newcastle United, having acquired the club from former owner Mike Ashley in a £305 million takeover completed in September 2021. The remaining 15% is controlled by the Reuben brothers through RB Sports & Media.
According to reports, the Saudi sovereign wealth fund is prepared to reduce its stake to approximately 63.75%. A sale of 25% of PIF’s current holding would effectively hand a new investor a 21.25% share in the Premier League club.
Newcastle’s valuation is now believed to have climbed to around £1.5 billion (€1.73 billion), underlining the club’s rapid commercial and sporting growth since the Saudi-backed takeover. The move would still leave PIF as the majority shareholder while helping secure financing ahead of a major summer announcement regarding infrastructure investments.
The club is expected to partially self-finance any future stadium development, meaning it must strengthen its equity position to meet loan-to-value requirements for large-scale borrowing. Newcastle is therefore actively seeking additional investors to join PIF and the Reuben family in funding the next phase of expansion.
Meanwhile, Newcastle’s revenues have reportedly surged from £140 million in 2021 to more than £400 million today, although the club still trails Premier League financial heavyweights such as Manchester City and Arsenal, both of which generate more than £700 million annually.
The club is also carrying out a £30 million renovation project at St James’ Park, including upgraded hospitality suites, new lighting systems, giant screens, and a redesigned pitch — the most significant stadium investment since the venue’s 2001 redevelopment.