The sale of Chelsea FC has moved a step closer after Raine Group, the US merchant bank, reportedly finalised their shortlist of preferred bidders for the club.
Roman Abramovich announced that Chelsea was being put up for sale on 2 March amid Russia’s continued invasion of Ukraine. The oligarch billionaire was then sanctioned by the UK government on 10 March after Downing Street claimed to have proven his ties to Vladimir Putin, with Chelsea only allowed to continue operating under a strict government licence.
The government will have oversight on the takeover to ensure Abramovich does not benefit from Chelsea’s sale, which is expected to be worth around £3bn, while the winning bid will also need to pass the Premier League’s Owners’ and Directors’ Test.
Two consortiums are reportedly seen as the most likely candidates to take over the west London club. The first is led by Todd Boehly, the billionaire part-owner of the LA Dodgers, while the second is headed by British businessmen Sir Martin Broughton.
A third bid by the Ricketts family, who own the Chicago Cubs, has also made the shortlist. Their interest has been met with fierce backlash from Chelsea fan groups after emails emerged in which Joe Ricketts allegedly referred to Muslims as “my enemy”.
And Boston Celtics co-owner Stephen Pagliuca has also made the four-strong shortlist to buy Chelsea. The 67-year-old billionaire co-chairman of Bain Capital is the final bidder to make the cut.
In
Boehly consortium
Todd Boehly
Boehly, the billionaire part-owner of the LA Dodgers, is thought to be at the head of one of the major bids to buy Chelsea. The American has courted Chelsea before - in 2019, he had a $3 billion (£2.24 billion) offer turned down by Abramovich as he looked to add the Premier League club to a sporting portfolio already including part-ownership of the Los Angeles Dodgers baseball team and Los Angeles Sparks basketball franchise.
Boehly added a stake in the LA Lakers last year and is an owner of fantasy sports behemoth DraftKings. He is the founder of private investment firm Eldridge Partners, which is involved in a broad range of industries.
“Football’s the biggest sport in the world, the passion the fans have for the sport and the teams is unparalleled,” Boehly told Bloomberg in 2019 of his interest in buying Chelsea.
“So what you are trying to build with these teams, you are really trying to a) win and b) be part of the community.
“The opportunity we had with the Dodgers was really about part-ownership with Los Angeles, how are we going to win, how are we going to drive championships and how are we going to build passion. If you look at what the Premier League offers, it’s all of those things.
“It’s the highest quality play, it’s the best players, and you also have a media market that’s just really developing.”
Swiss billionaire Hansjorg Wyss confirmed he had been offered the chance to buy Chelsea and is believed to be a key figure in Boehly’s consortium.
Wyss, 86, made his fortune as the founder and president of Synthes USA, a medical device manufacturer. The company was sold to pharmaceutical giants Johnson & Johnson for $19.7 billion in 2012.
The octogenarian lives in Wyoming and is a prominent supporter and financial backer of environmental causes and progressive politics.
He told Swiss outlet Blick that he would have to join with others in a consortium to buy the club.
“I have to wait four to five days now. Abramovich is currently asking far too much,” Wyss explained. “You know, Chelsea owe him £2billion [it is £1.5billion]. But Chelsea has no money. That means: those who buy Chelsea should compensate Abramovich.
“As of today, we don’t know the exact selling price. I can well imagine starting at Chelsea with partners. But I have to examine the general conditions first. But what I can already say: I’m definitely not doing something like this alone.
“If I buy Chelsea, then with a consortium consisting of six to seven investors.”
Broughton consortium
Sir Martin Broughton
Broughton, the former British Airways chairman and a lifelong Chelsea fan, is at the head of another consortium attempting to purchase Chelsea.
Broughton spent a short stint as Liverpool chairman in 2010 in order to broker the Reds’ eventual sale to Tom Werner’s Fenway Sports Group.
The business magnate won a court battle to push on Liverpool’s sale to FSG, who have helped drive the Anfield club back to Premier League and European summit.
Broughton remains the only person to have carried out a change of ownership at a top football club under UK government supervision.
Lord Sebastian Coe has thrown his weight behind Broughton’s attempt to take control of the Blues.
“I am certain that Sir Martin is the right man to lead Chelsea Football Club into its next chapter,” Coe said in a statement confirming he was also part of the consortium.
It has also been reported that American tycoons Josh Harris and David Blitzer, who own the Philadelphia 76ers and a minority stake in Crystal Palace, are involved in Broughton’s consortium.
The owners of the Chicago Cubs have confirmed they have also made a bid to buy the Premier League club.
However, their interest has been met with fierce protests from fan groups after it emerged that the family patriarch, Joe Ricketts, allegedly referred to Muslims as “my enemy”.
After meeting fan groups, Tom Ricketts released a statement on Friday that suggested the family’s bid had been included in the shortlist.
“My family and I are very grateful to all the fans and supporters’ groups who took time to meet with us this week and share their passion and concerns for Chelsea Football Club. It’s clear you have nothing but the best interests of the club at heart,” he read.
“We have listened to all of your feedback – including from the Chelsea Supporters’ Trust – and are grateful that the door is still open for us to demonstrate our commitment to working with fans to protect the club’s heritage.
“It is now up to us to redouble our efforts and clearly lay out a vision for our stewardship of the club with diversity and inclusion at its heart.”
Boston Celtics co-owner Stephen Pagliuca has made the four-strong shortlist to buy Chelsea. The 67-year-old billionaire co-chairman of Bain Capital is the final bidder to make the shortlist compiled by New York merchant bank the Raine Group.
Celtics supremo Pagliuca and Cubs owners the Ricketts were understood to have been informed by merchant bank the Raine Group early on Friday afternoon in New York time.
Pagliuca also has a 55 per cent shareholding in Italian club Atalanta, which he could have to divest should his bid for Chelsea prove successful.
Out
Property developer Nick Candy initially assembled a bid worth £2.5bn to buy Chelsea and later submitted an improved offer with a large Korean financial institution joining his consortium.
“Nick Candy is actively exploring a number of options for a potential bid for Chelsea Football Club,” a spokesperson for Candy said in a statement to Sportsmail. “Any bid would be made in conjunction with another party (or consortium) and we have serious interest from several international partners.”
“Mr Candy has a huge affinity with Chelsea. His father was asked to play for the club and he has been watching matches at Stamford Bridge since the age of four. The club deserves a world class stadium and infrastructure and Mr Candy’s unique expertise and background in real estate would be a hugely valuable asset to delivering this vision.”
However, Candy is believed to have been informed by Raine Group that his bid has not made the shortlist.
Centricus
Global investment firm Centricus was keen to take over the club and “maintain and support existing management”.
The firm, which has £29bn in assets and included several Chelsea season-ticket holders as part of the group, including Centricus co-founder Nizar Al-Bassam and chief executive Garth Ritchie, had said it was “committed to supporting [Chelsea] and its key stakeholders to ensure its continued success”.
However, their bid is also thought to have been ruled out by Raine Group.
Empowerment IP
Empowerment IP, a rights monetisation firm headed by the sports financier Stephen Duval, were said to have tabled an improved £3.1bn bid for Chelsea to Raine over the last few days.
Of that total amount, Sky claimed £1bn was to acquire Chelsea’s share capital, while £2.1b would be ring-fenced for investment in the club’s Stamford Bridge stadium, players and academy.
Their bid is also thought to have been ruled out by Raine Group.
Woody Johnson
US billionaire Woody Johnson’s bid for Chelsea has also been ruled out.
The owner of the New York Jets and heir to the Johnson & Johnson pharmaceuticals empire had claimed he was ready to offer £2bn for the club.
“What Chelsea need right now is longevity and stability when it comes to a new owner. Woody and his team think they can provide that,” a source had told The Sun.
“He’s run the Jets successfully and knows a huge amount about the sports industry. And he’s spent the last four years in London and knows it well.”
Saudi Media
The biggest media company in the Middle East, the Saudi Media group, have also seen their proposal knocked back. Reports had suggested they had lodged a £2.7bn bid to win the auction for the club.
Aethel Partners
Investment firm Aethel Partners were also said to have bid for Chelsea before last Friday’s deadline, according to BBC Sport.
Headed by Portuguese entrepreneur Ricardo Silva, the London firm had declared their intention to pay in the region of £2bn for the European champions and were pledging to put in £50m immediately. However, their proposal also appears to have been overlooked.
Muhsin Bayrak
The Turkish billionaire had publicly registered his interest, telling Turkish media: “We are discussing the terms of Chelsea’s purchase with Roman Abramovich’s lawyers. We’re negotiating signatures. We will soon fly the Turkish flag in London.”
His bid was not officially confirmed and he has not been included on the shortlist.
Loutfy Mansour
Loutfy Mansour, 39, is the Egyptian chief executive of Man Capital, which operates as the investment arm to his family’s conglomerate, which has revenues in the region of $6b (£4.4b).
Mansour, who is a season ticket holder at Stamford Bridge and has the McDonald’s Egyptian franchise as part of his portfolio, was initially rumoured to be interested in buying the club.
But a spokesperson told The i that he would not pursue a bid: “In light of the recent media speculation, we want to make it clear that we are not pursuing a bid for Chelsea Football Club at this time.”
