Brazil World Cup grounds up for sale following cash flow problems

first_img Brazils World Cup stadium in Natal is up for sale as the company that owns it is suffering from cash flow problems following a corruption scandal.Natals Dunas arena is being sold by owner Grupo OAS, with the company also trying to sell the 50% share it owns of the Fonte Nova arena in Salvador.The company has struggled for months with the impact of a corruption investigation at state-controlled oil company Petrobras, which undercut the builders access to financing.An economic downturn, government austerity and a slumping currency has also taken its toll, leading to Grupo OAS to announce it is selling its stakes in football venues and other businesses to focus on the core construction business.OAS spent $187m (£126.2m) on completely rebuilding the old Fonte Nova arena in Salvador and $134m on the new Dunas arena. The Fonte Nova hosted six games in the 2014 tournament and the Dunas arena four.The announcement was the latest in a string of bad news for Brazilian football post-World Cup.Earlier this week Esporte Club Bahia, one of the biggest clubs in Salvador, said they were abandoning plans to use the Fonte Nova because they felt the owners did not respect their fans. Closelast_img

Leave a Reply

Your email address will not be published. Required fields are marked *