Eddie Howe's Billion Pound Mags: Club's valuation has sky rocketed since 2021 takeover

If someone were to try to buy Newcastle United now they would have to fork out considerably more than the PIF, PCP Capital Partners and The Reuben Family paid for it in 2021.

We haven't yet celebrated the third anniversary of the Amanda Staveley-led, PIF-backed takeover of Newcastle United which landed previous owner Mike Ashley a £305 million, and yet the new owners have tripled the club's value already.

Bloomberg now reports that Newcastle United's valuation has passed the £1bn mark less than three years on from that magnificent night in 2021.

While the PIF have near-bottomless pockets, they haven't invested in the club as much as many people have expected, particularly in the transfer market thanks to FFP/PSR, but even off the pitch, the investment hasn't been as outrageous as many had feared.

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The PIF have put in an extra £260m since the takeover

That's not to say there hasn't been investment, because of course there has. The PIF has thrown £260 million at the club since the takeover, but they have also built up a boardroom boasting some of the best people in their respective fields, worked tirelessly to bring in new, lucrative sponsorships and partnerships and engaged with the fans reigniting the relationship between the club and the supporters which in turn encourages them to spend more and thus increasing the club's worth.

The Bloomberg report now puts us on equal footing with last season's Champions League opposition AC Milan.

"The current valuation of Newcastle puts the team at roughly the same valuation as seven-time European winner AC Milan, which was sold by Elliott Management Corp. in 2022 to RedBird Capital Partners for $1.3 billion."

Darren Eales says the club's revenue increase is 'incredible'

We've still got a long way to go before we catch the bigger boys, the likes of Manchester City and even Tottenham, but the way our revenues have been rising, we are closing that gap as Darren Eales has said.

“The revenues have been rising and it’s incredible to see. But we’re still behind the big six so we know that if we’re going to be competing and punching above our weight, how we use our resources is really important.”

While fans are frustrated in in-fighting due to the slow movement in the transfer market, it's worth pointing out things like this to show just how far we've come. Although we're sure there'll be those who think this only adds to the issue that we're not spending money on players, forgetting about the ridiculous rules that are hamstringing progress.