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Record valuation for AS Roma

A sale of AS Roma is imminent, reports the Financial Times from New York. According to the Pink 'Un, the club is set to be acquired for €750m including debt which would be a record for a Serie A team. Growing television revenues provide an incentive to buy clubs.

The buyers are a consortium led by US billionaire Daniel Friedkin. His family own the Gulf States Toyota Distributors car dealership and other business interests. He is expected to go ahead with a plan to build a new stadium for AS Roma.

A group of US investors bought a controlling stake in the club in 2011, making them the first foreign owners of an Italian club. The existing American investors have become disillusioned about the failure of the local authorities in Rome to upgrade or regrade the Stadio Olimpico shared with local rivals Lazio. They have a poor reputation for failed governance

This points to a wider failure, the dysfunctional nature of the Italian political system. One might ask how some economic achievements have been possible in Italy. Some of these have been achieved in spite of the absence of effective governance.

Any one who has visited Italy over a long period of time cannot fail to be disappointed by the decay of public infrastructure and spaces, including graffiti. Refuse collection and disposal is an area in which failure often occurs.

It also has to be admitted that 'over tourism' has become a serious problem in locations like Roma, Firenze and, above all, Venice. Tourists do not, of course, generally come for the football, but it sets a context. Inward investment might therefore be welcomed but is always going to be controversial, especially with fans.

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