Newcastle United's Potential New Owners Could Spend Big Despite FFP
Newcastle United could be the Premier League's biggest spenders this summer and remain within the league's Financial Fair Play rules, should their takeover actually be completed.
The Magpies are still awaiting confirmation from the league whether or not the takeover from the Public Investment Fund of Saudi Arabia, Reuben Brothers and PCP Capital Partners consortium can go ahead.
If Mike Ashley is allowed to sell then the club will become one of the richest clubs in the world and, according to the Shields Gazette, the new owners could spend big whilst being inside the league's FFP rules.
Speaking to the north east outlet, football finance expert Kieran Maguire said, "I've crunched the numbers and NUFC have an FFP profit of around £82 million over the past two seasons to the end of 2018/19. The allowable loss is £105 million over a three-year period.
"Assuming the new owners sign players on four-year deals, they could spend anywhere between £150-200 million in one window or a season and still stay within the Premier League limit.
"There is little love towards Mike Ashley - and rightly so - but he's leaving a financial legacy that is attractive to any rich successor."
Last summer the league's biggest spenders were Arsenal, spending £161 million, but much of their spend was based on Nicolas Pepe's £72 million, which is spread out over a few years.
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With most clubs expecting to have less to spend in the transfer window, due to Coronavirus, the north east club could easily become the biggest spenders in England's top tier, if the new owners decide to really push the boat out.
Ashley's time at St James' Park has often been criticised by fans for not spending enough money on transfers at the club, and seeing them be relegated to the Championship twice.
The club have already been linked with some big names since the start of the takeover talks, with the likes of Kalidou Koulibaly, Edinson Cavani and even Gareth Bale linked with moves to Newcastle.
The takeover contracts have reportedly been with the Premier League for about a month but the league are yet to confirm the deal.
There is questions over the potential new owners due to the ongoing investigation into the pirating of television coverage of the Premier League in Saudi Arabia.
Others have raised questions about the human rights record of Saudi Arabia and the state ownership of the Premier League club.