As Borussia Dortmund and Bayern Munich battle for dominance in German soccer, the power struggle isn’t restricted to what happens on the pitch.
On Thursday, a day before the start of the Bundesliga, Germany’s top division, Dortmund announced it was planning an extensive capital increase. The only German soccer club listed on the stock market will sell up to 24.6 million new shares. At €4.93 per share, about €110 million ($146 million) could be raised.
Existing shareholders have first refusal rights.
Sporting goods manufacturer Puma and insurer Signal Iduna are ready to take bigger equity stakes of up to 5 percent each, Handelsblatt has learned. The club declined to comment. In July, chemical group Evonik, Borussia’s longtime main sponsor, bought a stake worth about €27 million at a price of €4.37 per share.
Hans-Joachim Watzke, Borussia Dortmund’s managing director, wants to reduce the financial gap between his club and Bavarian powerhouse FC Bayern Munich. Through the stock offering, Dortmund’s market capitalization would grow from €330 million to €440 million. Bayern is worth an estimated €1.3 billion after financial services company Allianz purchased about 8 percent of the club in February.