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News and Commentary On Newcastle United Football Club By Ed Harrison, A Proud Exiled Geordie And Lifelong Fan

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Does This Newcastle Midfielder Have A Sell-On Clause?

9:24 am, Saturday, June 1st, 2013 by Ed Harrison · 16 Comments

Cheick Tiote has been linked with a possible move away from Newcastle already this summer, but we have to remember that a lot of the reports in the newspapers could be made up – and it’s also very early in the transfer season.

cheick tiote newcastle

Cheick Tiote - do FC Twente have sell-on clause?

Maybe one reason Cheick’s name keeps coming up is that he hasn’t enjoyed really good form since his first season on Tyneside, after he joined three years ago from FC Twente, after being scouted for a couple of years by Graham Carr.

One such rumor is that Lokomotiv Moscow are readying a big bid, and there have been reports in Holland that his former club FC Twente could benefit from any sale, because they inserted a sell-on clause in his contract, when he signed for Newcastle for £3.5M.

There’s been some confusion about sell-on clauses in the press, and the reason they are in a contract is usually when a player is sold early on in his career, and he could later become a big star with a huge transfer fee, and it’s a way for the initial selling club get a future percentage (maybe 25%) of the profit on any future deal.

If Newcastle do manage to sign 18 year-old Will Hughes for £10M from Derby County then they would probably want a sell-on clause in the deal, so that if  Newcastle sell him for more than £10M in the future, they get a percentage of that profit.

So if there isn’t a profit on a future deal, the selling club doesn’t get anything – which will be the case with Andy Carroll – Newcastle would only get money if the transfer fee Liverpool get is over £35M, and some readers have written that Newcastle can take 25% (if that’s the sell-on clause percentage) off his fee of £15M because of the  clause – but that’s not the way it works.

So let’s say Tiote sells for £13.5M (just an example) and the sell-on clause Twente have is 25% – then they would be due 25% of £13.5M – £3.5M which is £2.5M – so Newcastle would get the remaining £11M for him if his selling price is £13.5M.

It reduces the amount Newcastle get for Tiote, but Newcastle would still make a handsome profit if he’s sold for a lot more than we bought him for.

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Tags: Cheick Tiote · Contracts · Financials · Newcastle News





16 responses so far ↓

  • 1 Ben3arfa // Jun 1, 2013 at 9:30 AM

    If so, will only driver his price up if he is sold .

  • 2 Owldman // Jun 1, 2013 at 9:38 AM

    Seems to me that these Russian owners have money to throw away, reports in the press sat morning that TOON have put a £25 million price on Cisse, perhaps we have decided to play hard ball at last & make anyone who want our best players pay through the nose for them as we did with Carroll.

  • 3 hdavid23 // Jun 1, 2013 at 9:40 AM

    even if we have to pay for it, i want Tioté out… he had one good season, that’s it… the guy lacks even the basic skills to be a footballer, can’t handle the ball, can’t pass, can’t dribble and most probably had his brain removed last summer

  • 4 NEWEXPATMAGPIE // Jun 1, 2013 at 9:41 AM

    This is the one reason that the reported 15Mil bid is not enough !

    Cheick is a brilliant player on his day, but had a huge dip in
    form last season.

    He is worth at least 20Mil ! and should,nt be sold for any less?

  • 5 Jail for Ashley // Jun 1, 2013 at 9:41 AM

    I just don’t get it, on the last thread Toon Prodigy claims the club know what they’re doing when it comes to the sale of strikers and Owldman thinks that Dirk Llambias playing hardball is a new phenomenon.

  • 6 NEWEXPATMAGPIE // Jun 1, 2013 at 9:43 AM

    @3:

    Don,t agree with you? Think Pardew is to blame for his dip in form !
    And the whole team under performed last year, not only Tiote!

  • 7 Indian Magpie // Jun 1, 2013 at 9:43 AM

    indykaila News ?@indykaila 2m
    #NUFC ready to make 19m bids. More details on http://Indykaila.com
    Expand Reply Retweet Favorite More

  • 8 toonarmydownsouth // Jun 1, 2013 at 9:44 AM

    @indykaila: #NUFC ready to make 19m bids. More details on http://t.co/MnjeDijOcJ

    £19mil on Hughes and ince??? Great prospects but don’t be f**king stupid!!

  • 9 Ben3arfa // Jun 1, 2013 at 9:47 AM

    IndyKalia did also say that we would hire Benitez.

    So i would take any of their rumours with a pinch of salt

  • 10 JAMSHA // Jun 1, 2013 at 9:48 AM

    lol mayb a 19 mil bid for pea

  • 11 toonarmydownsouth // Jun 1, 2013 at 9:49 AM

    Ben arfa
    Tbf him and GFN France get 90% of there stuff right

  • 12 tequilamag // Jun 1, 2013 at 9:49 AM

    Tads. Indian.. Indykaila is full of sh1t. He has had Pardew getting sacked twice in the last 6 months. May as well ask mystic Meg what is going to happen.

  • 13 croftus5678 // Jun 1, 2013 at 9:53 AM

    will hughes looks a great player he’s both footed has great movement and is not slow like has been said on a previous post.
    i do agree that he’s purely unproven in the prem though and even english stupid money 10mil is too much for me 5mil pushing to 8mil if forced but the lad does look like the future of england ad good enough to come into the 1st team squad now and not lose quality.

    on tiote i’ve said this before but some fans seem to think we are calling for him to be sold which i am not !
    i dont value tiote as high as some other fans (looking around the prem and the value’s of the same players) maybe the season before last i would agree with 20mil but based on last season i would say 7mil+ (1 game 20mil would come down a little but tiote has been like it all season) and we do have cover for that position that imo would improve the team in bigi/anita/perch.

  • 14 toonincheek // Jun 1, 2013 at 10:13 AM

    If we DO put a price of £25 million on Cisse,
    I hope we make it clear to him that such a bid
    would only give them the right to talk to him.
    But – that we would like him to stay.
    Then – it would be up to Cisse.
    .
    With AC, I’m sure the club made it clear to him,
    when they got a bid of £35 million, that they
    would like him to leave.

  • 15 chuck // Jun 1, 2013 at 7:15 PM

    Tiote sell for 13.5 million ?
    Lets stop talking nonsense here, he would be lucky to bring six million.
    Following a couple of seasons of card collecting.

  • 16 S-G // Jun 2, 2013 at 6:12 AM

    Football fans have short memories i really don’t understand how people can say tiote has only have 1 good year.

    what about the season before last (when we finished 5th) the guy was twice as good as his 1st year

    as i keep saying get of his back the whole team were average at best last season not just cheik




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