Carlos Cordeiro, a senior adviser to FIFA, resigned in protest against the organization’s plan to involve private equity in the World Cup. He expressed his concerns in a statement addressed to FIFA President Gianni Infantino and urged other senior staff members to voice their opposition.
Cordeiro, a former U.S. Soccer Federation president and Goldman Sachs banker, stressed his lack of involvement in the proposal and his strong disapproval of it. He labeled the $20 billion commercial subsidiary as “a bad deal for football.” His understanding of both the asset’s value and the repercussions of selling part of it led him to advocate for the rejection of the plan.
Infantino suggested spinning off FIFA’s commercial ventures, including World Cups and Club World Cups for both men and women, into a $20 billion subsidiary, with private investors holding a 20% stake. The New York-based investment firm led by Joshua Kushner, related to Jared Kushner, was identified as the “anchor investor.”
This plan faced backlash from European nations, who agreed to boycott FIFA competitions, and North American soccer officials also turned it down. Cordeiro pointed out FIFA’s robust financial resources, which included $15 billion in four-year revenues without debt, as a reason against the necessity of this move.
He refuted the rationale behind selling a permanent stake in FIFA’s most prized asset to raise $4.2 billion, emphasizing the absence of a compelling justification. Having worked with FIFA for five years, Cordeiro praised his colleagues and hoped they would also speak out against financially motivated decisions.
With Infantino’s presidency surpassing a decade, his reelection in March seemed likely, yet FIFA set a deadline for election challengers by November 18.