Topline
MLB’s LA Dodgers principal owner and billionaire Mark Walter has joined American billionaire Todd Boehly’s bid to purchase the English soccer team Chelsea F.C. from Russian oligarch Roman Abramovich, the Athletic reported Friday, less than two weeks before a top bidder is expected to be selected for government approval.
LOS ANGELES, CALIFORNIA – JUNE 12: Los Angeles Dodgers President & Owner Mark Walter speaks onstage … [+]
Key Facts
According to reports, there are three other groups competing to become the next owner of Chelsea: owner of the Chicago Cubs Ricketts family and billionaire Ken Griffin; a bid backed by billionaire Josh Harris and his partner David Blitzer—both are part-owners of the NBA’s Philadelphia 76ers and NHL’s New Jersey Devils; and a bid backed by Stephen Pagliuca, co-owner of the Italian F.C. Atalanta and the Boston Celtics.
New York-based merchant bank Raine Group, which is managing the auction process, is expected to choose a top bidder and submit its proposal to the United Kingdom government for approval on April 18, the Athletic reported.
Abramovich bought Chelsea for around $190 million in 2003, and the team is valued at $3.2 billion, according to Forbes’ estimates.
Tangent
Walter’s investment group purchased the Dodgers in 2012 for $2.2 billion, and Boehly owns a 20% stake in the team. The NBA said in July that Walter and Boehly acquired a 27% minority stake in the Lakers.
Big Number
$4.3 billion. That’s Walter’s net worth, according to Forbes estimates.
Key Background
Abramovich put Chelsea up for sale in early March. European clubs, in general, are sold for two to four times their revenue. Chelsea generated $520 million in revenue in the 2019-20 season, though it lost $190 million in the fiscal year ending in June 2021. The U.K.’s sanctions on Abramovich do not allow the team to sell merchandise or tickets amid mounting losses. Chelsea fans have urged the U.K. government to allow ticket sales for the FA Cup semi-finals.
Further Reading
Dodgers principal owner Mark Walter joins bid to buy Chelsea led by Todd Boehly (The Athletic)
Two U.S. Billionaires Are Reportedly Lead Bidders For Chelsea F.C. (Forbes)
Why Owners Of U.S. Sports Teams Have The Advantage In Chelsea’s Global Bidding War (Forbes)
Source: https://www.forbes.com/sites/lisakim/2022/04/08/billionaire-dodgers-owner-mark-walter-joins-boehlys-bid-to-takeover-chelsea-fc/