Pedri Breaks $1.1 Billion—Why Barcelona Sets Huge Release Clauses

Barcelona has established itself as a straightforward city. It seems so. Pedri, the beautiful 18-year-old midfielder, has signed a contract extension that is awe-inspiring in its number. Anyone who wants to acquire the Spaniard must trigger the EUR1 billion ($1.1 billion) release clause today.

At first glance, it looks simple. However, there are some additions to the story. Barcelona often imposes staggering figures on the best players in the club, and it’s the rival club Real Madrid, whose long-standing forward Karim the Benzema has a EUR1 billion ($1.1 billion) expiration date. This is not the only factor to regard, however. What is important is the reasoning behind it.

The most widely-held view is to something like this: Barcelona values Pedri enough that it only takes an enormous bid to think about the possibility of releasing him. If this logic is actual, it could be applied to other team members who, in many cases, receive vast sums of money on their agreements. But, to completely accept this argument would mean to anticipate the future. Teammates remain or depart for an enormous amount of cash.

A plethora of financial problems still weighs down Barcelona. While it’s not possible, it’s a hazardous strategy to put your money on billion-dollar offers anytime very soon, if that’s the only offer they’ll take. Neymar remains among the top soccer players ever, yet this EUR222 million ($258 billion) transfer from the United States to Paris in 2017 isn’t even half of what the Brazilian would be able to get to swap clubs at some point. The soccer schedule was not being disrupted, and stadiums were moving again. The clubs will slowly recover, and the market could still reach that level but not for long.

It’s hard to imagine the Catalans not allowing good money when they need it. Portuguese player Francisco Trincao is on loan at Premier League side Wolves. Some reports suggest that the English club could sign the player in exchange for EUR25 million ($29 million). The release clause is set at EUR500 million ($580 million). Should Barcelona ever decide to exit, Barcelona could seek a legal loophole that allows it to accept a lower offer in the theory of things.

In reality, the vast numbers serve more like statements of intention. They indicate that Barcelona is negotiating with more bargaining power. This proved valid when Neymar quit for big money. In that case, Barcelona’s dream came true. But that has never been the norm, as Lionel Messi’s exit terms were evident when the yardsticks changed when his contract was running down. Barcelona did not receive the EUR700 million ($812 million) release clause in his contract.

Another reason for such clauses to exist –for the better or for worse, in La League- is the nation itself. Spanish law states that workers can seek new jobs without restriction and the world of soccer, which has a high wage, is not an exception. If a job offer is offered, an athlete can go on strike.

This raises another issue as to the reason why some people agree to extravagant departure clauses. Although it is possible that signing with high fees for signing on leaves the players stranded if a new prospective buyer is unable to offer the amount, it also assures the players that they are valuable for the club. At this moment, with Messi not at Camp Nou, extending the contract to players is crucial. Camp Nou, doing so is essential.

Gerard Pique, Memphis Depay, and Phillipe Coutinho are critical players for Barcelona. However, they are not the ones who will help shape the team’s future. Instead, the youngsters Pedri, Gavi, and Ansu Fati will be the ones to shape the future. Barcelona, the president Joan Laporta is working on an overarching plan to revive the club following an unhappy time on both sides. The trio is a main part of this plan. Ansu and Gavi might sign agreements soon; however, according to Marca’s note, talks with the former are moving slowly.

Although there are few flaws in the current trend in release clauses, there are no such holes for Pedri. The teen has already played more than 50 appearances for the Blaugrana and is a staunch supporter of the Barcelona goal. In his case, putting his trust in and protecting himself rather than being pressured by a massive amount of people makes sense. For certain people doing everything they can to secure their position is a sensible strategy. The amount of money that is conjured is usually over the top, but.

Pedri is inactive because of an injury to his leg and has missed Barcelona’s win against Valencia at La Liga. If he can return to Barcelona, he’ll take part in the first of other games.

- Advertisement -
Avatar photo
Adam Collins
Adam writes about technology, business and economics. With master's degree in Economics, he's presented six papers in international conferences. As a solivagant in the constant state of fernweh, curiosity is the main weapon in his arsenal.

Latest articles

Related articles