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Clearlake Capital Nears Deal to Buy Out Chelsea Co-Owners Boehly and Walter

Clearlake Capital, Chelsea's majority owners, are close to an agreement to acquire the stakes of co-owners Todd Boehly and Mark Walter, in a deal that would value the club at approximately £5bn.

  • Clearlake Capital is nearing a deal to buy out Todd Boehly and Mark Walter from Chelsea FC.
  • The potential transaction would value Chelsea Football Club at around £5bn.
  • Mark Walter is seeking to raise funds to pay off insurers following a US federal investigation into alleged tax fraud.

Chelsea's majority owners, Clearlake Capital, are reportedly close to finalising an agreement to purchase the stakes held by co-owners Todd Boehly and Mark Walter. This deal is expected to value the football club at approximately £5bn and would see Boehly and Walter make a profit on their initial investment.

Discussions regarding the potential sale have been ongoing for two years, intensifying last month. This acceleration is linked to Mark Walter's need to raise funds to pay insurers, following a US federal investigation into alleged tax fraud.

Walter, Boehly, and Swiss billionaire Hansjörg Wyss each own 12.8% of Chelsea, having jointly acquired the club with Clearlake from Roman Abramovich four years ago for £2.5bn, with a commitment to invest a further £1.75bn. Under their ownership agreement, Clearlake has an exclusive option to purchase Boehly and Walter's stakes.

A spokesperson for Walter confirmed to Bloomberg that he is seeking a sale and that an agreement is close. Boehly is also anticipated to sell his stake, given his long-standing investment partnership with Walter. The position of Hansjörg Wyss remains unconfirmed.

Clearlake, already holding 61.5% of the shares and day-to-day operational control, is managed by Behdad Eghbali and José E Feliciano. Taking complete control is expected to alleviate internal tensions and streamline decision-making at the club.

The most immediate impact of this potential ownership change could be on Chelsea's plans for a new stadium, as Eghbali and Boehly have previously disagreed on whether to redevelop Stamford Bridge or seek an alternative site.

Why this matters: The potential change in ownership could impact Chelsea's internal dynamics and future strategic decisions, particularly concerning stadium development.

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