Chelsea’s Co-owners Set to Buy Each Other Out Amid Boardroom Rift
Chelsea Football Club is currently facing a tumultuous period behind the scenes, as its co-owners, chairman Todd Boehly and majority owners Clearlake Capital, are reportedly looking to buy each other out. This development comes as a result of a growing rift at the board level, which has led to a power struggle within the ownership group. In this article, we will delve into the details of this situation and explore the potential implications for the club.
The Background of the Ownership Structure
To understand the current situation, it’s important to have a grasp of the ownership structure at Chelsea Football Club. In July 2022, the club was purchased from Roman Abramovich for a staggering £2.5 billion. Boehly was named co-controlling owner as part of the acquisition, while Clearlake Capital became the majority owner with a 61.5% stake in the club.
However, it seems that Boehly’s power within the ownership group has gradually diminished, with Clearlake taking primary control at Stamford Bridge. Clearlake’s co-founder, Behdad Eghbali, has assumed a more hands-on role within the club since Boehly stepped down as interim sporting director in January 2023.
The Rift and Potential Implications
Multiple figures within the senior hierarchy of Chelsea now acknowledge the existence of a rift between Clearlake and the group allied to Boehly, which includes billionaire partners Hansjorg Wyss and Mark Walter, who collectively own the remaining 38.5% stake in the club. It is worth noting that any reports of a rift have been previously denied by sources at the club.
The main point of contention appears to be the future direction of the club. Clearlake has expressed its desire to retain its stake in Chelsea and is even open to expanding it. On the other hand, Boehly is keen to buy out Clearlake’s stake and is actively seeking a resolution to the situation. Both parties have matching rights and blocking options if third parties express interest in acquiring shares.
The potential implications of this rift extend beyond the boardroom and could impact the sporting side of the club. Some senior figures believe that work on revamping or relocating the stadium has slowed down due to the ongoing situation. It is essential for the club’s success that these internal issues are resolved swiftly and effectively.
The Future of Chelsea Football Club
Looking ahead, the written agreement between the co-owners stipulates that the chairman position will change every five years. As such, Boehly is set to step down in 2027. However, any sale of Boehly’s shares to a third party would require approval from Clearlake.
In recent years, Chelsea has been an active participant in the transfer market, spending over £1 billion on new signings since the 2022 takeover. The club faced criticism during the summer transfer window for hoarding players, with a peak of 42 senior players on the books. Although this number has been reduced to 36, it highlights the club’s ambition to build a competitive squad.
Furthermore, the club has experienced managerial changes under the new ownership. Enzo Maresca was appointed as the current manager in July, replacing Mauricio Pochettino, who left after just one season in charge. Pochettino’s departure followed the sackings of Thomas Tuchel and Graham Potter.
Conclusion
The reported rift between Chelsea’s co-owners, Boehly and Clearlake Capital, has raised concerns about the future stability and direction of the club. This power struggle within the ownership group could have significant implications for Chelsea, not only in terms of its boardroom dynamics but also in terms of the sporting side of the club. Swift resolution and effective communication are crucial to ensure the club can continue to thrive on and off the pitch.