Watford Football Club, a professional English football team, has announced its plan to sell 10% of its equity to investors, including its own fans. This groundbreaking move marks a shift in traditional ownership structures within the football industry. Through a partnership with the crypto and startup investment platform Republic and its European crowdfunding arm Seedrs, Watford FC aims to raise approximately £17.5 million ($22.3 million) through this equity sale.
Each share of Watford FC is being offered at £12.44 ($15.88), with a minimum investment requirement of four shares totaling £49.76 ($63.51) for investors using Seedrs. On the other hand, investors on Republic must purchase a minimum of eight shares totaling £99.52 ($127.04). The club, valued at £175 million ($223 million), plans to utilize the capital raised from this initiative to improve various aspects of its operations, such as player recruitment, training, and coaching.
Scott Duxbury, Chairman and CEO of Watford FC, expressed his enthusiasm for the digital equity offering, stating, “We are proud to be the first major English football club to offer true ownership shares to a wide range of investors, including fans, through digital equity.” The club’s management envisions using the proceeds from the equity sale to propel Watford FC back to the Premier League.
By partnering with Republic, Watford FC aims to attract a diverse range of investors beyond what a traditional equity raise would have achieved. Investors participating in the offer will not only have the opportunity to own a stake in the club but also gain access to exclusive offers and the potential to receive the club’s tokens for future trading. Republic President Andrew Durgee emphasized the significance of this partnership, stating, “This sale is, to date, the largest digital equity offering to unlock true ownership shares in an English football club.”
An Opportunity for Fans
Watford FC’s equity sale paves the way for fans to be part of the club’s legacy and future growth. While investors will not have voting rights within the club, they will have the potential to receive dividends on their investments. This innovative approach to football ownership creates a unique avenue for fan engagement and financial participation in the success of the club.