Chinese partnership deal with Hapoel Tel Aviv important to Sino-Israeli relations

Source:Global Times Published: 2016/11/9 18:18:39

China Machinery Engineering Corporation (CMEC) and Israel's Hapoel Tel Aviv recently reached an agreement in a sponsorship deal which could possibly turn into a takeover deal.

According to the deal, CMEC will pay Hapoel about 10 million euros ($11.22 million) over five years - a large sum compared to other sponsorship deals in Israel. However, the deal will only go through if Hapoel receives approval for a new, major football stadium project, south of Tel Aviv in Bat Yam.

At the beginning of the season, Israel and China signed a document of understanding expanding their cooperation in energy technology research and development, including the establishment of funds for renewable energy.

Israel's Minister of National Infrastructure, Energy, and Water Resources Yuval Steinitz held meetings with Chinese energy companies included Sinopec Group (China Petroleum & Chemical Corporation), China Gezhouba Group Corporation (CGGC) and CMEC. Steinitz notified these companies that Israel planned to reopen its economic waters for oil and gas exploration, inviting them to participate in the exploration.

The proposed deal between CMEC and Hapoel might not be major, but it demonstrates how Chinese investors might use football as an investment strategy as part of their quest to expand and gain influence across the world.

Amir Kabiri, club manager of Hapoel Tel Aviv

Amir Kabiri, club manager of Hapoel Tel Aviv





Full partner

The Chinese government has determined that cooperation is one of its 15 most important transactions in relations between the State of Israel due to the direct connection between its official policy to brand itself through investments in football clubs around the world.

The transaction was presented on November 3 at a ceremony hosted by Israel's Prime Minister's Office and representatives of the Chinese government at a Tel Aviv hotel. The process is expected to take place over three years, when the Chinese company will become a full partner in the ownership of the club.

Although the Chinese real estate company reached the initial phase to build the stadium in Bat Yam, it is waiting on a construction permit from the Interior Ministry. According to details of the deal, the Chinese will take over for the next five years and, the contract shall be determined by the dates of transfer of funds.

Source: Consulate General of Israel in Shanghai

Hapoel Tel Aviv's Eran Zahavi (left) and Lyon's Anthony Réveillère battle for the ball.

Hapoel Tel Aviv's Eran Zahavi (left) and Lyon's Anthony Réveillère battle for the ball.



 
Hapoel Tel Aviv team group photo Photos: CFP and courtesy of Oren Aharoni and Consulate General of Israel in Shanghai

Hapoel Tel Aviv team group photo Photos: CFP and courtesy of Oren Aharoni and Consulate General of Israel in Shanghai



 
Newspaper headline: Investing in football


Posted in: METRO SHANGHAI,CONSULATE

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