Renowned Canadian music artist Drake reportedly saved Serie A outfit Venezia from going bankrupt in the 2021-22 season.
The ‘U My Everything’ crooner reportedly helped raise a staggering amount of money to bail out Venezia after the team treaded on the rims of bankruptcy in Italy’s second division.
What bankruptcy means for an Italian Football Club
Partnerships with brands, sale of match tickets, revenue from league media, and merchandise sales form the main base of football clubs’ income stream. Inevitably, the distribution of this income is largely skewed with the elite clubs benefiting more due to their larger fan base and multiple investors.
For football clubs like Venezia, the reverse is the case. With a limited fanbase, poor infrastructure, and a lack of investors, it will take shrewd hands and business geniuses to keep the club afloat.
A balance must be struck between the limited income inflow and expenditure. However, this was not the case in the 2021-22 season. According to Transfermarkt, Venezia spent $21 million on players’ wages and deals. This plunged the club into a huge debt.
According to Italy outlets, before 2023, Venezia’s derelict financial status would have seen the club lose its affiliation with Italy’s football governing body – the Italian Football Federation (FGIC). This would have resulted in the club losing its status as a football club.
However, a new amendment to the rules of bankruptcy for football clubs in 2023 allowed insolvent clubs to still operate but with a clear debt-management plan. While such plans offered a breather to clubs like Venezia, their operation would have nonetheless been impacted by the new plan.
How Drake saved Venezia from bankruptcy
According to GQ Italy, Drake came to the rescue of Venezia when Matte Babel, a member of the singers’ management team, got a call from one of his friends Brad Katsuyama.
Katsuyama, who is also the co-owner and chairman of Venezia, reportedly told Babel the financial situation of the club, revealing that a cash infusion of €10m to €30m will be needed to save the club.
Babel then passed the information to Drake, who then injected an undisclosed sum to assuage the club’s dwindling financial fortunes.
”I spoke to Drake, then Brad and I discussed the details of how we could help. Within two weeks we had a deal, raised the money needed to pay the salaries and avoid bankruptcy.” Babel told GQ Italy.
Reports of Drake’s involvement with the club also attracted other investors to bank with the club. Hence, the Vernice-based outfit was finally able to stay afloat financially again.
According to The Mail, about $43m was finally raised for Venezia. They would go on to win promotion to the soon-to-start 2024-25 Serie A campaign after edging out Cremonese in the play-offs final.
Meanwhile, it is not the first time Drake has been involved in football and sports in general. The 37-year-old is an ambassador for Canadian basketball team Toronto Raptors. Toronto Raptors named their training ground after Drake’s record label – OVO (October’s Very Own) following their ambassadorial deal with the singer.
Drake is also a football enthusiast and serial bettor. He has made the headlines for his outlandish sports betting behavior. In 2022, he lost a $1 million bet after he wagered for Argentina to win the 2022 World Cup after 90 minutes. The match ended in a 3-3 draw and was decided on penalties.
Recently, the Canadian rap king also lost $300k after placing a bet on Canada to defeat Argentina in the Copa America 2024 semifinals. Canada lost the match 2-0 with goals from Julian Alvarez and Lionel Messi. For more about Drake, check out our other content on the singer HERE.
Venezia Football Club
Founded in 1907, Venezia has a larger part of their history in Italy’s lower divisions. The 2024-25 season will be the 14th time they will compete in Serie A.
The Vernice-based side won promotion to the Italian elite division after a brilliant 2023-24 Serie B campaign, thanks to Drake and Co’s financial support. They will take on Lazio away in their opening match on August 18, 2024.
