Danish soccer club FC Midtjylland and Dempo Ink a Deal!

Leading Goa-based Indian industrial group, Dempo, with interests in soccer promotion has effected a Share Subscription Agreement with prominent professional Danish soccer club and academy, FC Midtjylland, based in Herning and Ikast. The deal which was inked earlier today is in terms of a long-term commercial and technical partnership between the parties, with the Dempo investment strengthening the FCM capital base, and FCM committed to providing technical know-how to Dempo.

The partnership takes the form of an investment of a sum of ‚¬ 12 Million (Rs 80 Crores approx.) translating into a stake of 34% in F C Midtjylland Holdings A S, along with an Indian presence on its board.

The understanding in brief envisages FCM sharing its football expertise with an Indian club, and establishing an academy in football-crazy Goa, in collaboration with Dempo.

"It's a historic day for FC Midtjylland and the start of a new era for the Club. The agreement enables us to add value to the continuity of our soccer team and retain our own playing talent longer. We can enhance the level of talent development, and begin truly to internationalize the Academy", explains Søren Bach, CEO of FC Midtjylland.

Echoing the sentiments, Dempo Group chairman, Shrinivas V Dempo added, "The investment marks the moment when intent turned into commitment. It's kick-off time for the Dempo foray into truly international football. Our agreement is aimed at raising the playing standard of Indian soccer, and this tie-up with a first-rate European academy and team shall spur the development of the game even faster".

Adds Soren Bach, "This is how we capitalise on the football professionalism that FCM is known for. We must, among other things, help the Indians with technical support of their youth and senior players, exchange programmes for coaches and players between the two clubs and coaching and development in sport management."

The deal has been facilitated and coordinated by the sports management company, New World Consulting, which specializes in bringing investments to sports. New World Consulting will be working closely with both FC Midtjylland and Dempo in Europe and India over the next two years to maximize the benefits to both sides from this investment.

Both FCM and Dempo share the common perception that it is with football that a giant new step has been taken in Indo-Danish relations. They agree that this sports-driven cooperation is an ideal platform from which to create new business opportunities between the "middle of Jutland', Midtjylland, and Goa. "In fact, I see this agreement as historic also in terms of an era of commercial cooperation opening up between India and Denmark", adds Shrinivas Dempo.

The Share Subscription Agreement shall take effect after the final approval of the shareholders of FCM Holdings A S at an Extraordinary General Meeting to be held on Thursday, 15th September, 2011.