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Tenfield ‘reaches deal’ with Uruguayan FA over $2.5m rights payment

Uruguay's Penarol celebrate a goal against Bolivia's Wilstermann during their Copa Libertadores match on March 11, 2020. (by DANTE FERNANDEZ/AFP via Getty Images)

The Tenfield agency is said to have reached an agreement with the Uruguayan Football Association (AUF) to make a rights payment due in June for rights to club competitions, amid financial pressures caused by Covid-19.

The UYU110m (€2.2m/$2.5m) payment will be made in four parts between July and October, reports Uruguayan newspaper El Observador. It is expected that 55 per cent will be paid in July, with a further three payments of 15 per cent apiece following over the next three months.

The rights agreement provides for Tenfield to pay a basic UYU110m every four months on the last day in February, June and October. However, the agency is said to be in a compromised position as it is not receiving income from cable television operators that have suspended subscription charges for the football package due to the lockdown of the domestic game amid the Covid-19 pandemic.

The 2020 Primera División season commenced on February 15, but was suspended on March 13, along with all other AUF-sanctioned tournaments. The AUF is planning for football to return on either August 1 or 8 and, under the terms of its deal with Tenfield, it is claimed that it must provide a season consisting of at least 240 games.

A total of 24 matches were played before the season was suspended, with the AUF scheduling 216 fixtures to take place between August and December. In May, the AUF had urged Tenfield to meet its latest payment after it failed to make a deadline of April 30 to settle the latest instalment for broadcast rights.

Tenfield is the long-term holder of Uruguayan club rights and its current agreement runs until 2025. Ahead of its deal to extend its rights to 2021, it was agreed that the contract would be paid in Uruguayan pesos as clubs feared a drop in the value of the US dollar.