Tether Proposes All-Cash $1.1 Billion Offer to Acquire Juventus, Offer Rejected

Tether Makes All-Cash $1.1B Bid to Buy Juventus, but Offer Rejected

Tether has made a cash-only offer to buy Italy's Juventus Football Club, but this proposal was quickly declined.

Key Takeaways:

Tether submitted a $1.1 billion all-cash offer to acquire Juventus, which was swiftly rejected by Exor.
Despite the rejection, Tether remains interested and is willing to invest €1 billion to enhance the team.
This move highlights Tether's growing involvement in the sports and investment industries.

On Friday, the stablecoin issuer revealed that it had submitted a binding offer to Exor, the Agnelli family's holding company, to purchase its 65.4% controlling stake in Juventus. The Agnelli family has run Juventus for over a century, making this attempt one of the most ambitious takeover bids in European football this year.

Juventus Shares Increase After Tether’s $1.1 Billion Bid Is Rejected

Juventus, with a valuation of about €944 million ($1.1 billion), saw its stock price rise by 2.3% on Friday, reaching €2.23 ($2.62).

Tether indicated that if Exor accepted the proposal, it would promptly initiate a public buyout of all remaining shares at the same price. However, Exor has reportedly rejected the proposal, with a source close to the company stating: “Juventus is not for sale.”

Despite this setback, Tether is positioning itself as a persistent potential investor. CEO Paolo Ardoino remarked that the company is prepared to invest €1 billion ($1.1 billion) in order to bolster the club if an agreement is ever reached. “Tether is in a strong financial position and aims to support Juventus with stable capital and a long-term vision,” Ardoiino said, sharing his personal connection to the team. “Growing up, I learned about commitment and resilience by watching Juventus face both challenges and triumphs with dignity.”

Tether, the issuer of the $118 billion stablecoin USDT, has been advancing into various sectors over the past year, with significant investments in artificial intelligence, robotics, and health technology.

Its involvement in football has developed gradually; the firm quietly acquired a stake in Juventus in February and increased its ownership to over 10% by April. Tether has also been gaining influence within the club. In October, Tether nominated deputy investment chief Zachary Lyons along with Francesco Garino to join Juventus's board, and shareholders approved Garino's position last month.

Tether on Track to Be World’s Most Profitable Company, Analyst Says

Tether seems unstoppable, as the leading stablecoin issuer is expected to generate around $15 billion this year. Matt Houga, chief investment officer at Bitwise, recently speculated that Tether could emerge as the world’s most profitable company, potentially surpassing Saudi Aramco.

Currently, it ranks as the third-largest digital asset, with a market cap of $183.8 billion, marking a 50% increase compared to the previous year.

While Tether maintains substantial cash reserves, recent reports indicate that the company may seek an additional $20 billion in new capital for a 3% ownership stake. This transaction would set its valuation close to $500 billion, surpassing companies like Netflix and Samsung, while nearing esteemed financial brands such as Mastercard.

Additionally, Tether has been expanding its holdings in precious metals, with its gold reserves now exceeding $12 billion.