FIFA drops plan to sell World Cup subsidiary stake after fierce backlash

FIFA has abandoned its plan to establish a commercial subsidiary and sell stakes in it to private investors, after a UEFA boycott threat and the withdrawal of key investors forced FIFA President Gianni Infantino to back down. The episode is expected to deal a significant blow to Infantino's leadership ahead of next year's presidential election.

In a statement Saturday, Infantino said he had "listened carefully to all views" and concluded that "regardless of whether one is for or against, it has become clear that this project has created divisions that do not serve the goals we had set."

"Our goal has always been, and will continue to be, the unity and development of football," he added. "Therefore, we will not proceed with this sale."

Infantino had announced plans to create a new for-profit entity called FIFA Forward Enterprise (FFE) to handle commercial operations and tournament management, with the aim of raising up to $4.2 billion through a stake sale this year.

The deal was to be led by Thrive Capital, a venture capital firm run by Joshua Kushner — the brother of Jared Kushner, son-in-law of US President Donald Trump — with JPMorgan serving as adviser.

The proposal drew immediate and sweeping opposition from across the football world. The Confederation of North, Central America and Caribbean Association Football (CONCACAF) and the Asian Football Confederation (AFC) both issued statements of strong opposition, while UEFA threatened to boycott the World Cup entirely. The potential absence of major European nations such as England, Spain, France and Germany would have severely undermined the tournament's value, jeopardizing billions in broadcasting rights and sponsorship revenue.

Key investors also walked away. The New York Post, which first reported the collapse of the deal before Infantino's official statement, cited sources as saying that Thrive Capital and JPMorgan had decided to pull out after concluding the situation was becoming a "brand nightmare."

Criticism from within FIFA and among Infantino's own inner circle has also grown louder. FIFA Chief Operating Officer Kevin Lamour told the Associated Press that "employees also felt deceived," calling the controversial project "not FIFA's — it's Infantino's personal project." Carlos Cordeiro, a senior adviser to Infantino, also stepped down, saying he could not stand by and watch the World Cup stake sale proceed.

The fallout has significantly weakened Infantino's position ahead of the FIFA presidential election scheduled for March next year. The New York Post reported that UEFA is searching for a rival candidate, with Paris Saint-Germain President Nasser Al-Khelaifi emerging as a strong contender, and that at least 20 countries are currently discussing withdrawing their support for Infantino.