Soccer

Chelsea backers Todd Boehly and Clearlake weigh up ownership options

Deterioration in relations has led to Clearlake Capital and Boehly assessing whether they can buy each other out

Todd Boehly, chairman and co-owner of Chelsea. Photograph: Shaun Botterill/Getty
David Hellier and Giles Turner
Fri Sept 06 2024 - 20:01

Chelsea’s main shareholders are exploring their ownership of the Premier League club after little more than two years in charge, amid a deterioration in relations, people familiar with the matter said.

California-based private equity firm Clearlake Capital – Chelsea’s majority owner – and US businessman Todd Boehly are assessing whether they can potentially buy each other out, according to the people.

The relationship between Clearlake co-founder Behdad Eghbali and Boehly, who together led a hard-fought takeover of Chelsea in 2022, has deteriorated in recent months, according to the people, as a period of heavy spending at the club has failed to bring success on the field.

Differing opinions on Chelsea’s recruitment policy, the team’s underperformance and the failure to make progress on building a new stadium, have all contributed to the rift, the people said, asking not to be identified discussing confidential information.

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Clearlake owns more than 60 per cent of Chelsea, with Boehly holding the rest alongside US businessman Mark Walter and Swiss billionaire Hansjörg Wyss. Bloomberg News reported last year that Boehly was dialling back his involvement at Chelsea after a difficult first season in charge.

Both Clearlake and Boehly remain committed to the club and running it in a professional manner, the people said. Boehly and a representative for Clearlake and Eghbali declined to comment. A spokesperson for Chelsea did not provide comment.

The Clearlake, Boehly-led consortium acquired Chelsea from Russian oligarch Roman Abramovich in a £4.25 billion (€5 billion) deal. In the roughly two decades under Abramovich’s ownership, the club had risen to become one of the most successful teams in English football, winning multiple domestic honours, as well as trophies in elite European competitions.

While the new owners have spent more than £1 billion on acquiring players since taking over, Chelsea’s success has faded. The club has sought to balance their books and comply with Financial Fair Play regulations by offloading home-grown players, including fan-favourites like Conor Gallagher, and the sale of hotels close to its Stamford Bridge stadium in west London. In some cases, players, such as Brazilian winger Angelo Gabriel, have been bought and sold before playing a competitive game for Chelsea.

Boehly recently told Bloomberg News that Chelsea’s owners were “laying a long-term foundation, establishing a great leadership team and responding to the environment.”