Who are Intercity CF?
Founded in 2017, Intercity CF (Club de Fútbol) started playing their home games in the 7th Division at a small sports centre in San Juan, near Alicante City in front of a few faithful fans.
The Club has made spectacular progress since, have been promoted 4 times in 5 seasons, and currently plays in the La Primera División RFEF ( 3rd Division).
Intercity CF is the only publicly listed Spanish Club (IPO´(Initial Public Offering) in 2021) and, due to its continued success, has moved to a bigger stadium close to Alicante. The highlight of last season was a narrow 4-3 defeat to Barcelona FC in the Copa Del Rey (Kings Cup) which was watched by a sell-out 30,000 crowd!
Quite some journey in just 6 years, and the next few seasons promise to be just as exciting.
What is the objective?
The principal objective of all lower league Clubs is to gain promotion to the promised land of the 2nd Division Liga Santander, to break even and, in some rare cases, to start making a profit.
A Club in the second division will automatically receive a minimum of € 6 million per year via TV rights. A Club in the 3rd division will share a pot of approximately € 350-400,000. Revenue potential is substantially higher in the second division, thanks to TV revenue, higher gate receipts and more lucrative sponsorship/other commercial income streams.
Further details of the massive TV rights and revenue gaps between divisions can be read here.
What are the current challenges for lower-league Spanish Football Clubs?
The current financial challenges include the lack of TV income and the lower commercial opportunities outside of the second division.
The second and key component for many Clubs that are seeking to raise additional capital is financial transparency or the lack thereof.
Intercity FC are an exception here being publicly listed, all the Club´s financials are readily and easily available by the relevant authorites, making them an attractive sports asset for investors.
Recent investment
Earlier this month Intercity CF signed a financing agreement valued at 11 million euros with Global Tech Opportunities 10, managed by Alpha Blue Ocean, a Dubai-based Family Office.
This investment will come in the form of convertible bonds, which will be distributed in tranches of 250,000 euros and with 0% interest. Likewise, and as a guarantee of the agreement, CF Intercity will grant almost two million shares to Global Tech Opportunities 10, valued at 0.25 euros.
The Club’s goal is to achieve economic stability, not only in the medium term but also in the long term and this deal will help activate new sports-related projects, including the completion of their new training pitches.
Where now for Intercity FC?
This summer´s transfer window will be critical for Intercity CF, allowing them to secure the right balance of players for the upcoming season. Luck, injuries, tactics, and the standard of pitches all play a part, but having learnt from last season and with a new injection of funds, there is every chance that they can and will reach the promised land and the riches that come with it…
For further information on how to invest in Intercity CF and to jump on board for the journey, please contact us at rpe@solsportsinvest.com or call +34 607 375 234
Investor deck and presentation available on request.
Intercity CF investor resumen
1.The only Spanish publicly traded Club with more than 2,000 shareholders
2. Financial transparency.
2. Not a one-ownership Club model. Shared Club for investors and fans steered by an experienced management team both on and off the pitch.
3. “Skin in the game” – President Salva Marti, has personally guaranteed the convertible bonds showing total faith and commitment to the project.
4. Alicante is the ideal location for a 2nd Division team. Currently, the city´s main Club Herculés CF are in the 4th Division and La Nucia CF has been relegated to the 4th. Eldense CF has recently been promoted to the 2nd division and is 35 – 40 minutes outside Alicante City.
5. Alicante has a population of 1 million and receives more than 12 million tourists per year. Huge business network opportunities, fan engagement, and sponsorship opportunities.
6. Long-term plans to build their own stadium with a few sites and plans already drawn up and being discussed with the local council.
