Roman Abramovich has been disqualified by the Premier League from owning Chelsea after having sanctions imposed on him by the UK government following Russia’s invasion of Ukraine.
The league’s decision to bar Abramovich from being a director of Chelsea in effect forces him to push ahead with his sale of the club. It came two days after the government imposed sanctions on the oligarch and granted the Stamford Bridge club a licence that allows them to keep operating under heavy restrictions.
The Premier League said the decision to disqualify Abramovich “does not impact on the club’s ability to train and play its fixtures, as set out under the terms of a licence issued by the Government which expires on 31 May 2022”.
The government made minor amendments to the licence on Saturday. Chelsea can now spend £900,000 on match-day costs – increased from £500,000 – and will have access to prize money earned. Restrictions on selling tickets and the club’s travel budget, capped at £20,000 for away games, have not yet been amended.
Chelsea, who host Newcastle on Sunday, remain in a state of limbo. The decision to disqualify an owner would normally trigger a sale of their shareholding, with the rules stating that Chelsea have 28 days to ensure that Abramovich sells up. However, this will not be enforced if the planned takeover goes ahead but takes longer to complete.
The government is confident the sale of Chelsea will move quickly. Abramovich gave the green light for it to go ahead on Friday night and the Raine Group, the investment bank overseeing the process, has given potential bidders until 18 March to submit proposals.
The government views the British property tycoon Nick Candy and a consortium fronted by Hansjörg Wyss and Todd Boehly as serious contenders. It has emerged that the third person involved with Boehly and Wyss is Jonathan Goldstein, the CEO of Cain International. Goldstein, a British businessman, is the former chair of the Jewish Leadership Council.
Sources in Westminster have not ruled out the chances of a takeover bid from Saudi Media succeeding. The company is led by Mohamed Alkhereiji, who is also the CEO of its parent company, Engineer Group Holding. Meanwhile Sir Martin Broughton, who helped facilitate Fenway Sports Group’s takeover of Liverpool in 2010, is reportedly considering whether to enter the bidding.
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Broughton, a Chelsea fan, has also held discussions about taking a role in bids led by Boehly, Wyss and Goldstein, and by the Crystal Palace director Josh Harris. The 74-year-old, the former chairman of British Airways, now chairs Sports Investment Partners, a private investment firm which has backed businesses in areas such as sports technology and event management.
Abramovich was disqualified under rule F.1.6, which states a director must be removed if “he/she becomes prohibited by law from being a director (including without limitation as a result of being subject to a disqualification order as a director under the Company Directors Disqualification Act 1986 (as amended or any equivalent provisions in any jurisdiction which has a substantially similar effect) (‘the CDDA’), or being subject to the terms of an undertaking given to the Secretary of State under the CDDA unless a court of competent jurisdiction makes an order under the CDDA permitting an appointment as a director)”.
Hyundai, meanwhile, has become the latest company to suspend its association with Chelsea. The Korean car-maker signed a five-year sleeve sponsorship deal in 2018, but said: “In the current circumstances, we have suspended our marketing and communication activities with the club until further notice.” Main sponsors Three suspended its links with the club on Thursday.
