State-Backed Giants Lose out in Russian League

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With the backing of the Kremlin-owned gas giant Gazprom and the cash to buy the world's top players, Zenit St Petersburg must have hoped the 2012-2013 season would be their best ever.

But despite the support of the world's largest energy firm, last year's Russian champions failed to progress in both of Europe's main club tournaments and are third in the country's Premier League.

Instead, teams owned by private businessmen -- notably Anzhi Makhachkala and CSKA Moscow -- have been Russia's star performers this year, indicating that state money does not always buy success.

In Soviet times, all teams were in some way state owned: the Red Army controlled CSKA and the interior ministry the great Dynamo sides of Moscow and Kiev. Spartak -- named after the Roman slave Spartacus -- was founded by trade unions.

The collapse of the USSR saw private capital enter the league and now wealthy businessmen are ploughing hundreds of millions of dollars into the game, attracted by prestige and a desire for victory.

Russia's top teams now fall into two distinct groups -- those under effective state ownership and those owned by billionaire businessmen. This year, privately owned clubs are in the ascendancy.

-- 'Gazprom FC' --

Gazprom took a controlling stake in Zenit in 2005 and last year raised the bar for transfers in the Russian league by signing star players Brazilian Hulk and Belgian Axel Witsel for a total of 100 million euros.

But their arrival, which sparked protests by home-grown players and dressing room discord over their mammoth salaries, has not translated into dominance on the pitch and they currently lag leaders CSKA by eight points.

Lokomotiv Moscow, backed by the massive railway monopoly RZD as it was in Soviet times, are languishing ninth, despite employing the talented former Croatia coach Slaven Bilic as manager.

In contrast, privately owned Anzhi, CSKA and Spartak Moscow have shown more dexterity in the transfer market and are best developing their infrastructures for the future.

Anzhi Makhachkala, from the Caucasus republic of Dagestan, were founded in 1991, but had little success in the Russian league before 2011 when it was purchased by local oil and metal tycoon Suleiman Kerimov.

His financial backing allowed the club to sign Cameroonian star striker Samuel Eto'o and Brazilian veteran Roberto Carlos, who now works as sports director.

Over the Russian winter break, they also signed Brazilian playmaker Willian from Ukrainian champions Shakhtar Donetsk on a 35-million-euro transfer deal.

Meanwhile, Kerimov's financial support has also allowed Anzhi to renovate their home ground, completely transforming it into an up-to-date 30,000-seat venue.

This year they made it to the Europa League knock-out stages and are currently second in the domestic league, with a good chance of winning a place in next year's Champions League.

-- 'I dream of an IPO' --

Three-time Russian champions CSKA Moscow have a seven-point advantage at the top of the league and are firmly on course for their fourth domestic title.

The club has been controlled by a Ukrainian-born businessman, Yevgeny Giner, since 2001. Since then they have won three national titles, six Russian Cups and the 2005 UEFA Cup.

Last November the club resumed construction of a new 30,000-seat stadium, which was halted in 2009. The venue will become the first major private sports arena in Moscow when it opens next year.

Russia's most decorated club, Spartak Moscow, are currently owned by Leonid Fedun, the second-largest shareholder in the private oil company Lukoil.

Last year the nine-time champions, currently fourth, came second in the league -- and Fedun, who is worth seven billion dollars according to Forbes magazine, is hoping to bring success to the club once more.

He has already spent $500 million on work on a 43,000-seater ground, which is expected to be complete later this year and will host matches for the 2018 World Cup in Russia.

"My dream is to organize the IPO (initial public offering) of Spartak in maybe 2017 or 2018," Fedun said in an interview with Russian TV.