Florentino Perez dealt setback to Real Madrid ownership plans

Real Madrid President Florentino Perez publicly acknowledged in November that the club must change and adapt to defend its interests, specifically signaling a potential change to its long-standing member-owned (socio) model during the club's general assembly.

The club, owned by its members since its founding 122 years ago and built into a powerhouse by Santiago Bernabéu, has historically elected presidents via member vote, though Perez has largely run unopposed in recent decades.

Perez stated the club would propose a corporate reorganization to secure its future, protect against threats, and ensure members remain the true owners of the club and its financial assets. Previous reports indicated he planned to convert members into shareholders, with a structure ensuring members retained 51% ownership. Shares would be non-transferable except to family, while allowing the club to attract foreign investment.

However, legal consultancy Clifford Chance, advising Perez on the proposal, has reportedly advised against this plan. Their report, referenced by Sport via El Confidencial, warns that allocating shares to the Real Madrid Foundation would violate current legislation. The alternative suggested is converting the club into a private company, similar to other clubs.

Such a conversion could potentially remove control from the members. Crucially, any change to the ownership model requires approval by a majority vote of the club's members.