CMS advises City of Zabrze on Górnik Zabrze privatisation
CMS has advised the City of Zabrze on the historic privatisation of Górnik Zabrze S.A., one of the most decorated Polish football clubs, a 14-time Polish champion and this year's runner-up and Polish Cup winner.
The City of Zabrze sold a majority 86% stake in the club to LP Holding GmbH, owned by Lukas Podolski.
CMS provided comprehensive legal advice on transaction structuring, negotiations with the investor, and preparation of the transaction documentation.
A key element of the transaction was the negotiation of safeguards protecting the interests of the City of Zabrze and the local community. The privatisation agreement allowed, among other things, for the City to retain one share, guaranteeing a seat on the club's supervisory board, as well as protection of Górnik Zabrze's name, crest and the location of its registered office in the city. In addition, the new owner committed to significant recapitalisation of the club on a schedule agreed by the parties.
Górnik Zabrze is one of the most recognisable and decorated football clubs in Poland, and its privatisation is another instance of ownership transformations involving sports clubs previously owned by local governments.
Marcin Bejm, Partner at CMS, comments: “The privatisation of Górnik Zabrze is part of an accelerating trend towards the professionalisation of football club management in Poland. The last season very clearly demonstrated how the Ekstraklasa is changing – investor interest is growing, and clubs are increasingly operating like modern business organisations. In the case of Górnik, it was particularly important to reconcile the interests of the local community, the fans and the investor, who has an ambitious strategic vision for the club. We are pleased to have been able to support the City of Zabrze in this process.”
The CMS team was led by Marcin Bejm, and included Agnieszka Urbaniak, Marta Kłopotowska and Andrzej Lenart (Energy and Infrastructure).
