Selling Valencia's survival strategy

In a bid to lighten debts of 550 million euros, over the last two years Valencia president Manuel Llorente has had no choice but to sell the soccer equivalent of the family silver: David Villa, who went to Barcelona for 40 million euros, Silva to Manchester City for 33 million, Marchena to Villarreal for two million, and now Mata to Chelsea for 27 million; four players who were part of the Spanish national side that won the 2010 World Cup. After a share issue of 90 million euros and two years of austerity, the team, which finished third last season, has trimmed its debt by 200 million euros.

On Saturday, Valencia started a new Liga season showing there is still some quality on its roster, notably in the form of striker Roberto Soldado who scored three at the right end and one own goal as the home team saw off Racing Santander 4-3 in an opening-day thriller.

When Llorente took over in 2009, Valencia symbolized all that has gone wrong in Spain's high-spending soccer world - a strike by Liga players over delayed back pay set the start of the season back by a week. The club had nearly been sunk by the previous chairman's grandiose scheme to build a 320-million-euro 75,000-seater new Mestalla stadium. Work began in August 2007; then with Valencia 547 million euros in debt, owing more than 50 million to construction companies Bertolín and FCC, it stopped again in early 2009.

When he arrived that summer, invited in by one of the club's creditors, Bancaja - which is owed over 200 million euros, giving it a place on the board - Llorente decided the worst thing Valencia could do was to sell off its talent. He canceled the sales of Villa, Silva and Mata, insisting that he would only accept a "scandalous" offer; quietly downscaled stadium plans; refused to be rushed back into constructing it, instead issuing instructions for it to be sold off; and kept the club's creditors and its other owners at bay.

Almost 4,000 fans were persuaded to buy shares at 720 euros each share, raising 18.7 million euros. Bancaja was persuaded not to call in its debt and the Valencia Fundación, a governmental concern like the bank, provided the remaining 73.3 million euros to complete the share issue. Llorente and the Generalitat were in control. All Valencia had to do was raise 44 million euros a season in cuts, sales or income to cover their annual deficit. In the meantime, the side still needed operating cash, hence the sale of its four top players. So far cheaper replacements, such as Soldado, have kept the doubters at bay.