Chelsea have chosen that a Todd Boehly-led group of investors is the preferred bidder to take over the club from owner Roman Abramovich, subject to Premier League and UK government clearance.
Boehly, who co-owns the Los Angeles Dodgers in the United States, is now expected to become the Blues’ owner, with voting rights divided among other investors, and his offer is supported 66% by Clearlake Capital, a private equity group.
Nonetheless, the club, which is anticipated to fetch a world record-breaking amount for a sports team after a bidding battle between multiple groups, might still see another entity such as Jim Ratcliffe win out – but GOAL feels it is unlikely at this juncture.
Todd Boehly, a probable Chelsea owner, who is he?
Boehly owns 60% of the $6 billion-valued investment business Eldridge Industries, through which he manages the majority of his interests, with the exception of the Los Angeles Dodgers and Los Angeles Lakers, which are private investments.
Abramovich rejected Boehly’s £2.2 billion deal for Chelsea in 2019. He followed it up with an interview in Bloomberg in which he expressed a desire in playing Premier League football.
“Football is the most popular sport on the planet,” Boehly claimed. “I can’t believe American football gets to use the name ‘football,’ because that word, to me, should be football.” The truth is that it is still the greatest product on the market. It’s 90 minutes long, so it’s a good length. The supporters’ enthusiasm for the activity, the sport, and the teams is unrivaled. So, when you think about what you’re trying to do with these teams, you’re actually trying to A, win, and B, be a part of the community.”
One of his bets is on Fortnite, the wildly popular video game. He is projected to be worth £3.3 billion ($4.4 billion).
What is the status of Sir Jim Ratcliffe’s bid for Chelsea?
His last-minute £4.25 billion proposal (which includes a £1.75 billion investment over ten years and a £2.5 billion donation to a “charitable fund” presumably tied to the Ukrainian conflict) came as a surprise late in the process on Friday morning. It alters the landscape of the Raine Group process, which is managed in New York.
It is uncertain if the proposal will be accepted since the procedure was supposed to reduce the possibilities and it has missed multiple deadlines.
“Sir Jim Ratcliffe, Chairman of INEOS, has launched a formal offer for Chelsea FC for £4.25 billion,” according to a release. £2.5 billion has been pledged to the Charitable Trust to assist war victims, with £1.75 billion committed to direct investment in the club over the following ten years.
“This is an offer by a British club for a British club.”
“We feel that a club is larger than its owners, who are just transitory keepers of a wonderful legacy.” With regard to the supporters and the community.
“That is why we are pledging to invest £1.75 billion over ten years for the club’s immediate benefit.”
“We will invest in Stamford Bridge to transform it into a world-class stadium worthy of Chelsea FC.” This will be organic and ongoing so that we do not abandon Chelsea and risk losing the support of devoted supporters.
“And will continue to invest in the team to guarantee that we have a first-rate group of the world’s best players, coaches, and support personnel in both the men’s and women’s sports.”
“We intend to continue investing in the academy in order to give opportunities for bright young players to grow into first-team players.”
“Feeling that London should have a club that represents the city’s prominence.” One that is regarded as highly as Real Madrid, Barcelona, or Bayern Munich. Chelsea is the club we want to be.
“We are investing as lovers of the beautiful game, not as a way of generating a profit.” That is what we do with our primary companies. The club is deeply established in its neighborhood and its supporters. And it is for this reason that we want to invest in Chelsea FC.
“Neither Sir Jim nor INEOS will make any more comments during the bidding process.”
Who else is participating in Todd Boehly’s quest for Chelsea?
Clearlake Capital, a private equity group, is estimated to be putting up about 50% of the offer to acquire Chelsea.
Alongside him is his long-term business associate Hansjorg Wyss, the Swiss billionaire who was the first to disclose Abramovich’s intention to sell Chelsea.
Mark Walter, the Dodgers’ principal owner, is a member of the organization, as is British businessman Jonathan Goldstein.
Danny Finkelstein, a conservative member of the House of Lords, and Barbara Charone, a marketing professional, are among those advising the bid.
How will Todd Boehly invest in Chelsea Football Club?
Any potential buyer has been requested to promise a minimum of £1 billion in additional investment over the next ten years for the stadium, women’s and youth teams.
Together with the price of purchasing the club, it would bring the project’s total financial commitment to between £3.5 billion and £4 billion.
The new Blues owners, like the other probable possibilities, have committed to invest in all aspects of the team and to work on the stadium.
Architects Jane Marie Smith and David Hickey, the latter of whom was project director for Abramovich’s now-canceled 60,000-seat reconstruction, are being contacted about restarting Stamford Bridge plans.
When will Chelsea’s sale be finalized?
The Premier League will put the group through an owners and directors examination, which is estimated to take around two weeks.
Once they have received clearance, the UK government will handle the proceeds of the sale and provide an operational license, releasing the club from the constraints of penalties.
It will enable Chelsea to extend contracts, add new players, and sell players, as well as manage their club store and sell match tickets to new clients.
It will also remove Abramovich from the club, bringing an end to a 19-year ownership tenure in which the Blues won 21 trophies.
With that step still being worked out, the money will be frozen or donated to charity.