REINFORCING
FOOTBALL EXCELLENCE
FOR SUCCESS
January 2017
2017 Victory Soccer Ltd. Highly Confidential 1
REINFORCING FOOTBALL EXCELLENCE FOR SUCCESS
Disclaimer
IMPORTANT: This presentation is for informational purposes only. It is used to support confidential discussions with company management and a limited
number of selected prospective business partners and investors with the purpose of assessing the projects Business Plan, structure, positioning, strategy and
possible funding that may include capital subscription or debt in the to be formed investment company.
This presentation includes forward-looking information. Such information do not represent historical facts. This information includes financial projections and
estimates and their underlying assumptions, statements regarding plans, objectives and expectations with respect to future operations, products and services,
and statements regarding future performance. Although the management of Victory Soccer believes that the expectations reflected in such statements are
reasonable, readers of this presentation are cautioned that forward-looking information and statements are subject to various risks and uncertainties, many of
which are difficult to predict and generally beyond the control of management. This could cause actual results and developments to differ materially from the
ones expressed in, or implied or projected by, the forward-looking information and statements.
Information provided within this document is strictly confidential and disclosure is subject to a signed mutual confidentiality agreement.
2017 Victory Soccer Ltd. Highly Confidential 2
REINFORCING FOOTBALL EXCELLENCE FOR SUCCESS
Agenda
Overview of the LOSC deal
LOSC 5 growth pillars
1. LOSC - A great football asset
2. Invest in Football Excellence
3. Develop best Academy in France (and neighboring countries)
4. China Business Development
2017 Victory Soccer Ltd. Highly Confidential 3
1. OVERVIEW OF THE LOSC DEAL
1.1. Background of the LOSC opportunity
LOSC is one of the best performing and valuable clubs in Ligue 1
3rd overall L1 finishing position over the last 6 years
Won both Ligue 1 championship and the French Cup in season 10/11
LOSC reputation stands as a structured and well organized Club with a strong
football identity supported by a passionate crowd, a modern stadium and the
best Academy infrastructure
Lille is the fourth largest urban area in France with 1.2m inhabitants
LOSC shows the best L1 track record in the last 10 years in terms of highest
trading balance between players sold and players bought amounts with a profit
of 199m
L1 League is set to benefit from recent large TV deals in both Premier League
(GBP2,4bn, 50% increase) and Bundesliga (1,4bn, 70% increase) L1 TV
rights will eventually catch-up soon
LOSC is the most readily prepared growth club in Ligue 1
2017 Victory Soccer Ltd. Highly Confidential 4
1. OVERVIEW OF THE LOSC DEAL
1.2. Summary of the LOSC investment opportunity
Opportunity to invest in LOSC to re-inforce its core assets such as: strong
football identity, pitch performance, scouting, academy, player trading, etc.
More specifically, priority development areas in LOSC will be :
Increase revenue generation thanks to a re-energized and professionalized
management so far best results in France with improvable staff
Develop a fully fledged Football Excellence program to support 1st team
competitiveness and enhance players future value and their tradability
Develop LOSC Academy as a reference global center already in France
Explore and fully develop the China football opportunity given the current very
optimal circumstances for commercial deals and football academies
development
Increase player investment to support team competitiveness as revenue grows
Evaluate a stadium buy-back financing operation since it can become a superior
source of future revenue
LOSC is a very exciting investment opportunity with both incremental
and material avenues of growth with a partner such as Victory Soccer
and its associates
2017 Victory Soccer Ltd. Highly Confidential 5
1. OVERVIEW OF THE LOSC DEAL
1.3. LOSCs 5 growth pillars
LOSC as a great football asset to own
A competitive well run Club in L1,
a League to catch-up in size with other
Leagues
LOSC a
great
football
asset
A unique opportunity to
pioneer football in China
Leverage current football assets to
promote Football Excellence
Opportunity to develop best football
practices from 1st team through all youth
teams to accomplish Club target
sporting results
Invest in
Football
Excellence
China
business
opportunity
Expand Domain de Luchin unique
sporting infrastructure
Develop commercial
Academy/University activities
with global presence
LO
SC
Fully develop the China football
business opportunity in both
the commercial and sporting
fronts
Expand revenue line to become
a top 3 Club in France
Best
Academy in
France
Revenue
expansion
Larger revenue will enable to finance
higher wages for a more competitive
team
Opportunity to invest in the LOSCs existing assets to go from a well run French club to a
reference global football entity with LOSC as a brand (not the city)
2017 Victory Soccer Ltd. Highly Confidential 6
1. OVERVIEW OF THE LOSC DEAL
1.4. Victory soccer team a wining team with track record
GERARD LOPEZ
MARC INGLA
Mangrove, Nekton and Genii Founder
FC Barcelona Vice-Chairman (03-08)
Lotus F1 Chairman and owner
Only private team to win races and thrive
among major car manufacturer brands
Led Club turnaround resulting in 4
times win of Champions League and
increased revenue by x5 over 10 year
Early investor in
which turned
out to be a $3bn company
Majority shareholder of free website
builder
NASDAQ IPO resulting in $2bn valuation
Football technical advisors
MARCELO BIELSA
LUIS CAMPOS
Reference coach for advanced training
methods and tactics
AS Monaco Technical Director
generating 300 M Euros of profits
Coach of Argentina, Chile, Bilbao,
Marseille and Espaol among other
Clubs
Scout of Real Madrid, Manchester
United and chased by Mourinho,
Olympique de Marseille or Chelsea
2017 Victory Soccer Ltd. Highly Confidential 7
REINFORCING FOOTBALL EXCELLENCE FOR SUCCESS
Agenda
Overview of the LOSC deal
LOSC 5 growth pillars
1. LOSC - A great football asset
2. Invest in Football Excellence
3. Develop best Academy in France (and neighboring countries)
4. China Business Development
2017 Victory Soccer Ltd. Highly Confidential 8
2.1. LOSC A GREAT FOOTBALL ASSET
1. Summary of key assets
A performing Club
3rd in L1 last 6 years,
continuously in
European competitions
Great player trading
track record
L1 as a main player
trading platform to
cash-rich PL
First Class Academy
infrastructure, scouting
network and youth
training methodologies
One of the best
stadiums in France with
passionate crowd with
strong football culture
Possibility of real state
development around
the Academy site
Strategically located
close by London,
Brussels and Paris
Very limited demotion
risks given weakness
of bottom 10 L1 clubs
Structured, serious and
ordered Club with good
managerial reputation
LOSC as a great asset to own within the L1 French football context.
With targeted investments to reinforce its core assets (football excellence, academy, player trading),
reenergized management, focused growth and internationalization programs, and along the expected L1
catch-up to other leagues in size, it can become a unique and extremely valuable franchise
2017 Victory Soccer Ltd. Highly Confidential 9
2.1. LOSC A GREAT FOOTBALL ASSET
2. A Performing Club
Last 6 seasons top L1 Clubs
average ranking
LOSC L1 ranking last 6 seasons
8
PSG
1,7
6
5
Average
ranking:
4,3
OL
LOSC
3,2
4,3
3
OM
6,2
ASSE
6,2
2010/11
2011/12
Source: Lazard, Sept16
2012/13
2013/14
2014/15
2015/16
Source: Lazard, Sept16
LOSC is a competitive Club in the context of L1 thanks to a consistent sporting strategy over time,
largely based on a good scouting network in Northern France and Belgium, self produced talents
from own Academy, and effective/competitive play style of the first team.
2017 Victory Soccer Ltd. Highly Confidential 10
2.1. LOSC A GREAT FOOTBALL ASSET
3. Successful sporting side Clever player buying / selling
Player balance last 10 seasons
main L1 Clubs (07/08-16/17), (m)
LOSC player trading activity last 10 seasons (07/08-16/17),
(m)
46
40
34
20
2
-7
14
09/10
10/11
22
26
8
-9
08/09
40
12
-3
-19
175
27
20
25
2 0
2
35
39
19
10
07/08
44
42
37
-23
11/12
Players sold
-21
12/13
13/14
Players bought
-8
14/15
-5
-13
15/16
(73)
16/17
(531)
Balance
Source: Lazard, Sept16
Source: TransferMarkt, Sept16
Last 10 years trading balance
Sales:
Buy outs:
Balance:
306m
107m
199m
Best track record in Ligue 1
in terms of
trading balance
2017 Victory Soccer Ltd. Highly Confidential 11
2.1. LOSC A GREAT FOOTBALL ASSET
4. L1 as a net player selling platform Premier League as main client
Player trading balance last 10 years ( m)
-668
-668
149
-645
Player trading balance last 10 years ( m)
-3.772
Destination of L1 players sold last 10 years (m)
Origin of PL bought out players last 10 years (m)
820
756
482
363 last 10 years
324 ( m)
Player trading balance
Player
343 trading balance last 10 years ( m)
Premier
League
Jupiler Pro
League
122
112
Serie A
La Liga
33
13
Bundesliga
Championship
(ENG)
La Liga
Serie A
Ligue 1
Bundesliga
253
Eredivisie
Premier League (and even Championship) to become main market for LOSC in relation with the extension of the
sporting strategy (scouting, playstyle, coach selection, training, etc.). New ultra-Rich TV contracts in England to
further accentuate this strategy.
2017 Victory Soccer Ltd. Highly Confidential 12
2.1. LOSC A GREAT FOOTBALL ASSET
5. LOSC as a Transition Club trading platform and a Flagship Club in the future
Player Life Time Value (PLTV) illustrative
numbers
> 30
TOP CLUBS or LIFESTYLE CLUBS
(Gulf, US,, China, etc) to finish career
20 - 30
FLAGSHIP CLUB continuously in
top spots in top leagues and playing
in European competitions
10 - 20
TRANSITION CLUB for good young
players to gain experience before joining
a top club
x5 - x10
2 - 10
YOUTH CLUB with reputation to identify/train
young talents and give them the chance to play
0-2
ENTRY CLUB in Belgium or Portugal to attract
gifted non-EEC players
Early
career
1720
years
Progressi
on
2025
years
Maturity
25-30
years
Decline
30-35
years
LOSC as a Transition Club platform selling the dream to the best young talents to promote and sell them to
either Flagship Clubs or even Top Clubs highest player investment multiplier potential in Europe with Porto and
few others.
2017 Victory Soccer Ltd. Highly Confidential 13
REINFORCING FOOTBALL EXCELLENCE FOR SUCCESS
Agenda
Overview of the LOSC deal
LOSC 5 growth pillars
1. LOSC - A great football asset
2. Invest in Football Excellence
3. Develop best Academy in France (and neighboring countries)
4. China Business Development
2017 Victory Soccer Ltd. Highly Confidential 14
2.2. INVEST IN FOOTBALL EXCELLENCE
1. Football excellence at LOSC
Football Excellence as a Club governance commitment to bet on a
specific football play style from 1st team and through all the YOUTH
TEAMS, which shall consistently deliver performing results according
to Club sporting targets
Samples of Football excellence in other leagues with recognizable
playstyle are:
FC Barcelona, At. Bilbao and Villarreal in Spain
Oporto in Portugal
LOSC in France
Arsenal in England
To implant and reinforce a Football Excellence idea across the board
at LOSC it has to touch all elements of the football talent development
value chain
2017 Victory Soccer Ltd. Highly Confidential 15
2.2. INVEST IN FOOTBALL EXCELLENCE
2. Football excellence value chain
1st team coach to
comply with playstyle.
Coach decision as one
of the most important
Club decision since it
plays a pivotal and
crucial role in
establishing football
excellence across the
board and consistently
achieving Club sporting
targets
Focus on talented and special players
Consistently a top5 Club in L1, and participate in European Championships.
Develop players optimal value and tradability.
LOSC sporting objectives and playstyle philosophy
Balanced squad
composition to
guarantee playstyle and
ensure competitiveness
every season
1st team coach
Players picking to
maximize each PLTV
and their tradability at
the right sell-out
momentum
Execute LOSC
playbook
1st team composition
B team and U18 teams
composition
Shared
playbook of
first team
Intensity in
formation, less on
competing
Scouting network
Extraordinary capillary network of connected scouters in search for the global talent
Increased reach in France, Belgium, Netherlands, West Africa, Maghreb
Landing spot for
scouted players
Up or Out policies
Academy
Players with clear
projection to first
team
Intensity in
competing, also
formation
Develop LOSC
playbook
Have both an attractive/creative/offensive/fast playstyle but extraordinarily competitive/effective
which should translate into results
Landing spot for
scouted players
Shared
playbook of
first team
Enter new markets: LatAm, Nordics, East Europe
2017 Victory Soccer Ltd. Highly Confidential 16
2.2. INVEST IN FOOTBALL EXCELLENCE
3. LOSC Playbook
Playbook evangelists
Main contents
Defines LOSC playstyle DNA
Specifies pitch player positioning forms
(433, 4231, 422, etc.)
Defines player typified pitch movements on
both offensive and defensive transitions
Define sample tactics in specific game
situations
Defines required players characteristics per
every position and scouting guidelines
Defines specific training techniques for
every position and pitch players movements
Sets Academy player production
requirements
Etc.
Coaches
Coaches of Coaches
Youth teams coordinators
Leading players
per zone
(defense, mid, offense)
Video
intensive
Smartphone
enabled
Personalized
dossiers per player
Unlike immense majority of Clubs (including top Clubs), LOSC will make an effort to document and make explicit its football
knowledge into LOSC playbook and share it systematically among all technical professionals and players.
LOSC playbook will be scalable to other geographies where LOSC might have an interest (e.g. China) this is unique and Victory
has the quality of staff to achieve. This was done in the US pro leagues generations ago. European football massively lags behind.
2017 Victory Soccer Ltd. Highly Confidential 17
2.2. INVEST IN FOOTBALL EXCELLENCE
4. LOSC Academy performance
Still room for improvement on home grown players contribution to catch-up with main L1 Clubs like
PSG, Monaco or OL
Consistent with French Clubs who in general promote home grown player from own Academy
1
% of players formed in own academy playing in the main
squad, 2014
25%
22%
16%
14%
10%
Opportunity to build best football academy in France and abroad. Already a great magnet brand
to attract best young talents with the promise to promote to better and higher earning clubs
Opportunity to produce players at a marginal cost compared to buying them in the open market
Higher home grown players contribution to first team as a mean to protect a proprietary LOSC
playstyle , providing cohesiveness to the dressing room and promoting more identification with the
crowd
2017 Victory Soccer Ltd. Highly Confidential 18
2.2. INVEST IN FOOTBALL EXCELLENCE
5. Expanded and Global Scouting System
Current team
Supervision of 8-15-year old players
c.10 employees on part-time contracts covering
the Nord-Pas-de-Calais region
Supervision of +18-year old players
c.10 employees, all former professional players,
on full-time contracts covering mostly France,
Belgium and Africa
Video supervision team
3 employees on full-time contracts supervising
players via video
From supervising 200
players per year
Expanded team
Further expand core market influence: France,
Belgium and Netherlands coverage
Cover well the LatAm, Nordic and East Europe
countries
Brazil, Colombia, Chile, Ecuador, Argentina,
Venezuela, etc.
Sweden, Denmark, Iceland, Norway, Island
Poland, Czech R., Slovenia, Croatia, Serbia,
Hungary, Turkey
to ca 600
players per year (X3).
An expanded scouting team shall materially enlarge the player funnel
to find the best talents for LOSC playstyle and sporting objectives
2017 Victory Soccer Ltd. Highly Confidential 19
REINFORCING FOOTBALL EXCELLENCE FOR SUCCESS
Agenda
Overview of the LOSC deal
LOSC 5 growth pillars
1. LOSC - A great football asset
2. Invest in Football Excellence
3. Develop best Academy in France (and neighboring countries)
4. China Business Development
2017 Victory Soccer Ltd. Highly Confidential 20
2.3. DEVELOP BEST ACADEMY IN FRANCE (AND NEIGHBORING COUNTRIES)
1. LOSC has an impressive Academy infrastructure
Domaine de Luchin
The "Domaine de Luchin" is LOSCs 49 Ha (121
acres) recently built headquarters, dedicated to sport
performance as well as public exposure
Modern new facilities including notably a brand new
training center which enables LOSC to work in
conditions worthy of Europe's biggest clubs
including several natural and artificial grass pitches
plus an indoor pitch
It is located 15km from Lille and its railway station,
less than 10km from Lille airport and approx. 5km
from the Pierre Mauroy Stadium (LOSC Stadium)
ca.200 professionals are involved in the
enhancement of each player skills with cutting edge
equipment and facilities available to senior team
players, pupils and to the public
Beside the traditional soccer equipment, the area
comprises high design cloakrooms, a treatment
room, a weight room, balneotherapy, a high-tech
press room with a multi-functional studio and
reception areas
LOSC Headquarters, training Center and Academy
2017 Victory Soccer Ltd. Highly Confidential 21
2.3. DEVELOP BEST ACADEMY IN FRANCE (AND NEIGHBORING COUNTRIES)
2. LOSC Football Academy University project
A State-of-the-art football academy is expected to be built by 2020 in Luchin to attract young amateur football players into
a commercial/for-profit business for LOSC
LOSC intends to value abroad its recognized training expertise and further reinforcement through Football Excellence program
by settling partnerships with international universities and top technology firms
The formation would be tailor-made and fee-based, with the foreign students of their home universities paying for their stay in
Luchin
Students would receive both theoretical and practical trainings
Best football players could join LOSC Youth Academy at the end of the program
LOSC to benefit from Lille city strong positioning in the Universities domain
LOSC has planned significant improvements in the Domaine of Luchin to host foreign students, including:
Training center
Seminar center
Multisport gym
15 green lodges
Sporting facilities
Various landscaping
projects
2017 Victory Soccer Ltd. Highly Confidential 22
REINFORCING FOOTBALL EXCELLENCE FOR SUCCESS
Agenda
Overview of the LOSC deal
LOSC 5 growth pillars
1. LOSC - A great football asset
2. Invest in Football Excellence
3. Develop best Academy in France (and neighboring countries)
4. China Business Development
2017 Victory Soccer Ltd. Highly Confidential 23
2.4. CHINA BUSINESS DEVELOPMENT
1. Strategic rationale
China governors have made a strategic bet for football as a mean to
develop sports values to society
Chinese investors entering aggressively European football it has only
started in France
The Chinese Football Federation is expected to spend/invest ca $8bn to
promote football around the country
Roll-out of Academies to teach football and sports values to Chinese
kids and citizens as Trojan horse and very valued entry strategy into
China
Beijing
Hong Kong
2017 Victory Soccer Ltd. Highly Confidential 24
2.4. CHINA BUSINESS DEVELOPMENT
2. Roadmap of LOSC brand development, engagement and monetization
LOSC POSITIONING
AND PR STORY IN
CHINA
LOSC BRAND
EXPOSURE
FANS
ENGAGEMENT
REVENUE
GENERATION
TV rights & publishing
PR & Communication
Tours/Friendly games
Television
China Club/Academies
Internet/Mobile/SM
TV audience
Icon players/coaches IR
Tours/Friendly games
Internet/SM traffic
Sponsors/prom/IR
Tours attendance
Gaming
Fan base
Merchandising
Academies
Key areas
China LOSC own Club
China Club attendance
Media
Sports
Commercial
Social
Chinese players dev.
Main focus
areas highest
revenue
generators
Ticketing / PPV
LOSC Fan card
Sponsors/promotions
Real Estate
2017 Victory Soccer Ltd. Highly Confidential 25