An investor group led by LA Dodgers part owner Todd Boehly is taking over Chelsea FC from Roman Abramovich, the Russian oligarch who served as owner of the Premier League club since 2003. Faced with UK government sanctions in the wake of Russia’s invasion of Ukraine, Abramovich put the club up for sale on March 2.
According to the numbers shared by the club in a statement published May 6, Boehly’s group is purchasing the club in a deal worth $5.25 billion (£4.25 million), making it the most expensive team transaction in sports. A total of $3.1 billion will go toward taking over the shares of the club from Abramovich and the rest will be invested in the club.
The UK government has oversight of the transaction given the sanctions leveled against Abramovich, who has already confirmed his intention of donating the proceeds to charity. Chelsea confirmed that the $3.1 billion would be “deposited into a frozen UK bank account with the intention of donating 100 percent to charitable causes as confirmed by Roman Abramovich.”
The deal is expected to be formally approved by the UK government and the Premier League by the end of May. The Boehly group is backed by U.S. investment firm Clearlake Capital and also includes Swiss billionaire Hansjorg Wyss, Dodgers co-owner Mark Walter, and British real estate investor Jonathan Goldstein.
The Boehly consortium beat out three other groups in the final bidding: a group led by Boston Celtics co-owner Steve Pagliuca, another by former British Airways chairman Sir Martin Broughton (with NBA 76ers co-owners Josh Harris and David Blitzer), and a third from the Ricketts family, owners of the Chicago Cubs, which was withdrawn after a controversy around emails with anti-Muslim statements made by patriarch Joe Ricketts.
Sir Jim Ratcliffe, owner of Ineos, also made a last-ditch bid to purchase the club which was rejected since it came after the deadline established by the Raine Group, which managed the transaction on behalf of Abramovich.
MORE: How much did…
Read complete post here: