UK govt issues licence for Chelsea sale to Boehly-led consortium

British Culture Secretary Nadine Dorries leaves after the weekly cabinet meeting on Downing Street, in London, Britain May 24, 2022. REUTERS/Toby Melville

The UK Government has approved the sale of Chelsea to US investor Todd Boehly for £4.25 billion, ending Russian billionaire Roman Abramovich’s near 20-year ownership of the football club.

Chelsea had been operating under a government license since Abramovich's assets were frozen in March and it was set to expire on May 31.

British sports minister Nadine Dorries announced on Wednesday that a licence has been issued which permits the sale of Chelsea to a consortium led by Los Angeles Dodgers part-owner Todd Boehly and backed by Clearlake Capital.

Current owner Roman Abramovich is subject to sanctions by the British government. He put the London club up for sale in early March following Russia's invasion of Ukraine, which Moscow calls a "special military operation".

Dorries said on Twitter that the proceeds of the sale will not benefit Roman Abramovich or other sanctioned individuals.

The club had earlier confirmed that all proceeds from the sale will be donated to charitable causes by Abramovich.

The consortium agreed terms to acquire Chelsea for 4.25 billion pounds earlier this month, and passed the Premier League Owners' and Directors' Test on Tuesday.

The completion of the sale will allow Chelsea to renew transfer activity as well as permit players to sign new contracts, which was prohibited as part of the sanctions imposed.

Groups led by Boston Celtics co-owner Stephen Pagliuca and former British Airways chairman Martin Broughton were eliminated from the bidding process, and a consortium led by Chicago Cubs owners the Ricketts family pulled out of the running.

(REUTERS)