News from Saudi Arabia shows what Red Bull are really planning with Leeds United

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Love or loathe them, Red Bull are one of the biggest names in sports investment and their decision to buy a stake in Leeds United was a major endorsement of the West Yorkshire club.

News that the Austrian energy drinks company had becoming significant minority shareholders at Elland Road understandably received a mixed reaction when it broke earlier this year.

Leeds are a club with a rich heritage and a proud fanbase, and their supporters wouldn’t tolerate being just another cog in the Red Bull football machine.

The group have since given assurances that Leeds’ name and club colours will remain unchanged under the £6bn-revenue company’s stewardship.

However, they do not plan on being an inconspicuous at LS11.

Red Bull have paid a record sum to become Leeds’ front-of-shirt sponsor, believed to be in the region of £8m and rising in the event of promotion.

The company will have secured their stake in Leeds at a discount after their relegation from the Premier League, so what are their ultimate ambitions at Elland Road?

Similar developments in the Middle East may give some indication.

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Red Bull’s Saudi Pro League Investment provides Leeds United clue

Last week, it emerged that Red Bull had added Japanese third-tier professional side Omiya Ardija to their ownership portfolio.

Now, as reported by Sport Business, Red Bull’s network provider division have struck a sponsorship deal with Saudi Pro League side Al Hilal.

In doing so, the company further illustrated its ambitions to cement itself in growing football markets.

While controversial, the mammoth spending from the Saudi Pro League over the last two years has catapulted it to global attention.

Similarly, in Leeds, Red Bull have an opportunity to amplify their brand with a fallen giant of English and European football.

Leeds sell more merchandise and generate as much matchday income as almost any club outside the so-called Big Six domestically, which demonstrates their appeal.

And just as attaching their name to a maturing market in Saudi Arabia will benefit their brand, so too will Red Bull’s association with Leeds.

How much of Leeds do Red Bull own?

So far, Red Bull’s investment in Leeds has been described only as a significant minority investment.

We will likely learn the full extent of their co-ownership when Leeds release their accounts for 2023-24, which will be some time early next year.

However, we can safely assume that this investment is not akin to the celebrity endorsements we have seen elsewhere, where someone buys a tiny stake in order to boost the club’s brand.

At the time of writing, Red Bull have not installed anyone on the board of directors, so it can perhaps be guessed that their investment is less than 25 per cent.