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≡ FIVB CONGRESS ≡
/Updated/The International Volleyball Federation (FIVB) reached a landmark agreement with CVC Capital Partners in 2021, injecting $100 million in cash into a new venture – Volleyball World – which became the marketing and event management arm of the federation.
The new entity is owned by the FIVB (67%) and CVC (33%) and splits dividends in that amount. With the 39th FIVB World Congress set for 15-17 November in Porto (POR), the accompanying documentation shows that the early indications of the joint venture have been quite profitable:
● In 2022, the first full year of the new venture, Volleyball World showed a fantastic profit of $58.00 million, of which 67% was paid to the FIVB: $38.86 million.
● In 2023, the result was not as good, with a profit of $25.87 million, of which the FIVB was paid $18.16 million.
The investment (in 2021) and the excellent returns have powered the FIVB to a happy financial position, increasing its wealth enormously since the last Congress in 2021: (CHF 1 = $1.13 U.S.)
Assets:
● 2020: CHF 130.72 million
● 2021: CHF 211.61 million (CVC invests)
● 2022: CHF 219.83 million ($248.41 million U.S.)
● 2023: CHF 164.84 million ($186.27 million U.S.)
Revenues:
● 2020: CHF 14.68 million
● 2021: CHF 25.82 million
● 2022: CHF 50.21 million (Volleyball World dividend I)
● 2023: CHF 37.33 million (Volleyball World dividend II)
Expenses:
● 2020: CHF 47.08 million (CHF 32.38 million net loss)
● 2021: CHF 68.56 million (CHF 70.75 million gain via CVC)
● 2022: CHF 53.36 million (CHF 3.15 million net loss)
● 2023: CHF 53.39 million (CHF 16.06 million net loss)
Its assets topped out at CHF 219.83 million at the end of 2022 ($248.41 million U.S.), but spending in 2023 accelerated for competitions (CHF 16.20 million) and development activities (CHF 7.130 million).
Nonetheless, it’s a signal that – so far – private equity infusions can work, at least in the short term. All of this was also achieved with a modest FIVB office staff of 34.
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It is not a surprise that given the financial success of the federation, and the aesthetic success of the Paris 2024 Olympic competitions, notably the beach volleyball events held in the shadow of the Eiffel Tower, that outgoing President Ary Graca (BRA) will hand the reins to his Secretary General, fellow Brazilian Fabio Azevedo.
The FIVB Congress announcement stated that as for President:
“The only candidature received was from Fabio Azevedo, upon which the FIVB Advisory Electoral Committee conducted a thorough integrity check confirming his eligibility.”
His sole candidacy had been confirmed in July. Azevedo, 53, came to the federation in 2013 after Graca became FIVB President in 2012. Azevedo had worked in the Brazilian national federation (1997-2010) and with his own event management firm until then.
Graca, now 81, is termed out, but will receive warm wishes from his national federations.
(Updated: Azevedo’s age has been corrected to 53; thanks to Megan Munro of the FIVB for the correction.)
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