Todd Boehly’s Takeover of Chelsea Soccer Club Approved by U.K. Government
The U.K. government signed off on a deal to sell soccer club Chelsea FC for £4.25 billion, equivalent to around $5.3 billion, to a group led by Los Angeles Dodgers part-owner
Todd Boehly.
The U.K. Premier League team previously belonged to Roman Abramovich, a Russian oligarch who was sanctioned in the wake of the invasion of Ukraine. After Mr. Boehly’s consortium struck a deal with Mr. Abramovich, the U.K. government had to sign off on the transaction to ensure it complied with sanctions restrictions.
Mr. Abramovich has previously said he won’t receive any proceeds from the team sale, which are earmarked for charity. Funds of the deal are expected to go into an account controlled by the U.K. government.
A more complicated issue has been that Mr. Abramovich lent the club around $1.9 billion via a Jersey-based entity. There was concern over how Mr. Abramovich could write off the loan, given that he is frozen out of the European financial system.
“We are satisfied the proceeds of the sale will not benefit
Roman Abramovich
or other sanctioned individuals,” said
Nadine Dorries,
the U.K. Culture Secretary on Twitter on Wednesday.
Of the total investment, £2.5 billion will be used to buy the shares in Chelsea, and that money will be distributed to charity. The remaining £1.75 billion is earmarked for investment in the club, including its stadium and women’s team.
Mr. Boehly’s group edged out two other U.S.-led groups, one headed by
Stephen Pagliuca,
co-owner of the Boston Celtics and co-chairman of private-equity firm Bain Capital, and one headed by Philadelphia 76ers co-owners and private-equity veterans
Josh Harris
and
David Blitzer.
Mr. Abramovich acquired Chelsea in 2003 for about £140 million, spending lavishly over the years to attract and develop top players and reshaping the team into a powerhouse. It won last year’s Champions League, the top tournament among European clubs.
Los Angeles Dodgers part-owner Todd Boehly.
Photo:
Adam Davy/Zuma Press
Write to Max Colchester at [email protected]
Copyright ©2022 Dow Jones & Company, Inc. All Rights Reserved. 87990cbe856818d5eddac44c7b1cdeb8
The U.K. government signed off on a deal to sell soccer club Chelsea FC for £4.25 billion, equivalent to around $5.3 billion, to a group led by Los Angeles Dodgers part-owner
Todd Boehly.
The U.K. Premier League team previously belonged to Roman Abramovich, a Russian oligarch who was sanctioned in the wake of the invasion of Ukraine. After Mr. Boehly’s consortium struck a deal with Mr. Abramovich, the U.K. government had to sign off on the transaction to ensure it complied with sanctions restrictions.
Mr. Abramovich has previously said he won’t receive any proceeds from the team sale, which are earmarked for charity. Funds of the deal are expected to go into an account controlled by the U.K. government.
A more complicated issue has been that Mr. Abramovich lent the club around $1.9 billion via a Jersey-based entity. There was concern over how Mr. Abramovich could write off the loan, given that he is frozen out of the European financial system.
“We are satisfied the proceeds of the sale will not benefit
Roman Abramovich
or other sanctioned individuals,” said
Nadine Dorries,
the U.K. Culture Secretary on Twitter on Wednesday.
Of the total investment, £2.5 billion will be used to buy the shares in Chelsea, and that money will be distributed to charity. The remaining £1.75 billion is earmarked for investment in the club, including its stadium and women’s team.
Mr. Boehly’s group edged out two other U.S.-led groups, one headed by
Stephen Pagliuca,
co-owner of the Boston Celtics and co-chairman of private-equity firm Bain Capital, and one headed by Philadelphia 76ers co-owners and private-equity veterans
Josh Harris
and
David Blitzer.
Mr. Abramovich acquired Chelsea in 2003 for about £140 million, spending lavishly over the years to attract and develop top players and reshaping the team into a powerhouse. It won last year’s Champions League, the top tournament among European clubs.
Los Angeles Dodgers part-owner Todd Boehly.
Photo:
Adam Davy/Zuma Press
Write to Max Colchester at [email protected]
Copyright ©2022 Dow Jones & Company, Inc. All Rights Reserved. 87990cbe856818d5eddac44c7b1cdeb8
Denial of responsibility! Techno Blender is an automatic aggregator of the all world’s media. In each content, the hyperlink to the primary source is specified. All trademarks belong to their rightful owners, all materials to their authors. If you are the owner of the content and do not want us to publish your materials, please contact us by email – [email protected]. The content will be deleted within 24 hours.