Florentino against Riquelme: the elections that will change Madrid forever

MadridSpanish politics has long been immersed in a permanent electoral campaign, due to the calling of elections at the State, autonomous communities, or municipal level. In contrast, the same cannot be said for the world of football, and in particular, for Real Madrid. Twenty years later, the Whites are holding elections this Sunday, and the campaign has hinted that, whatever the outcome, it will inevitably lead to a mutation of the club: Florentino Pérez, president since 2009, has opened Pandora's box of ownership by rolling out the red carpet for a private investor. Meanwhile, Enrique Riquelme, his first opponent in history, has emerged as a critique of the model of recent years, promising a sports structure that is "serious, modern, and profoundly madridista" and capable, he says, of leaving behind the low points the white team is going through. He has also promised a way of governing that is "transparent" and "more democratic." During the campaign, there has, of course, been talk of players and coaches. The candidates have promised the signing of great players, but depending on what happens, Madrid will undergo profound changes off the pitch.

But let's take it step by step. The fact that these elections at Madrid represent the first contest Florentino has had with someone for the position of maximum club leader has directly resulted in strong media expectation and his presence in the media, something unusual for the current white leader, who had not flirted with a format like an interview for years – in 2024, the Association of Journalists of Economic Information (APIE) once again awarded him the "secant" prize, an award for executives who are notable for being opaque or for not making public appearances with a Q&A session.

The taboo of ownership

It has been in these comings and goings in the media, but also on social networks, where, in addition to promising star signings, both candidates have shown off to the members the sporting and business project they aspire to. And Florentino has confessed for the first time in public that he intends for not only the members to own the club. "The way to know what Madrid is worth is to sell a minimum part," he stated in an interview with El País. Forbes gave it a value of 9.5 billion dollars (about 8.2 billion euros) a few days ago.

Thus, the current president has opened the can of worms in one of the few clubs in the State that is not a sports public limited company (SAE) – neither are Barça, Osasuna, nor Athletic Club –. All of them, including Madrid, belong exclusively to their members. However, the entry of private capital ("private equity, in business jargon) makes it difficult for it to continue to be so, even though Florentino has assured that he would seek the legal fit for the members to retain ownership. He also said that the private investor would not have political rights and could at most buy between 5% and 10% of the club. For Riquelme, all this has served as a campaign argument: he accuses him of wanting to "sell" and "privatize" the club.

While the model is not unusual in many professional leagues – in fact, private equity firms from the United States are investing heavily in European football – there are those who, in the case of Madrid, see it as "complicated," reflects Albert Fernández, one of the directors of the IESE Sports Management Center. This professor from the business school raises the question of who and why would invest millions in a company, Madrid, over which they would have no political rights or decision-making power, according to what Florentino has explained. "They would ask for a dividend policy or the ability to sell [the stake] in the future, when they have obtained profitability," adds Fernández in a conversation with ARA. There is also the possibility of seeing "intangibles" as attractive. For example, the Real Madrid brand generates indirect income. "However, this requires a negotiation on how to use the club's image externally," points out the IESE professor.

And what can the current president do to open this debate now, in the middle of an election where he precisely needs the support of the almost 70,000 members who have the right to vote. In general, there are two reasons why professional clubs seek these investors: either because they have economic problems due to high debt, or because they want more income to make big signings and be more competitive. After all, the value of a football team is mainly its players, and if they don't deliver results, the value plummets. During the campaign, Florentino promised the "most expensive signing in history" for Real Madrid – he has put it at 150 million euros – which he plans to announce on Tuesday.

Influence and power

Beyond the economic tug-of-war, which has been one of the campaign's major battlegrounds, especially because it touches the core of the role that members have in the club, the elections have brought to the table the presidential weight of a team that has been led by the same person for over twenty years. "It is very difficult to distinguish between Madrid and Florentino, and he plays with that," indicates a business voice.

If Riquelme won the elections, Madrid would open a completely new era. The 37-year-old businessman – Florentino is 79 – cannot play the card of titles, but he has tried to play the card of signings, at least in the form of a promise. Riquelme has announced that he wants two Manchester City players: Haaland, even though his agent has denied it, and Rodri. At the same time, he boasts about the list that will accompany him on the board of directors, which includes names like the son of the former Real Madrid president, Vicente Boluda. He has also boasted about those who will have a management role within the club: Raúl, Hierro, Casillas, and Vicente del Bosque. "We want a model that combines signing galácticos and creating galácticos", stated Riquelme, who has not hesitated to look into the past. In this, he is one of the few things he agrees with Florentino on, who, 13 years later, has announced the return of José Mourinho.

Approximately 70,000 members have the right to vote: those who have been members for more than a year, and who are of legal age. The elections will not be held at the Santiago Bernabéu due to the Pope's visit, so members will vote at the Valdebebas sports city between 9 a.m. and 8 p.m., when it will be known what the Madridistas have decided.