Chelsea's billionaire owner Roman Abramovich has confirmed he intends to sell the club less than a week after Russia's invasion of Ukraine. The attack has led to scrutiny over his ties to Vladimir Putin as well as speculation regarding potential sanctions faced by him and other Russian oligarchs.
In a statement released on March 2 via Chelsea's website, he said: "I have always taken decisions with the club’s best interest at heart. In the current situation, I have therefore taken the decision to sell the club."
He added: "The sale of the club will not be fast-tracked but will follow due process. I will not be asking for any loans to be repaid. This has never been about business nor money for me, but about pure passion for the game and club.
"Moreover, I have instructed my team to set up a charitable foundation where all net proceeds from the sale will be donated. The foundation will be for the benefit of all victims of the war in Ukraine. This includes providing critical funds towards the urgent and immediate needs of victims, as well as supporting the long-term work of recovery."
On the eve of the Carabao Cup final, the 55-year-old had already moved to "give trustees of Chelsea’s charitable Foundation the stewardship and care of Chelsea FC" with immediate effect, though the trustees had not immediately agreed to the move.
That move had few actual, tangible ramifications, and it turns out it was just the beginning. Just days later on March 1, a report by Matt Law of The Telegraph claimed that Abramovich was actively seeking to sell the club.
The New York Times reported earlier on March 2 that Abramovich has asked the Raine Group, a New York-based advisory firm, to sound out potential purchasers.
The Russian businessman has owned a controlling stake in Chelsea since 2003, triggering the most expensive transfer spending in the club's history.
Abramovich has bankrolled Chelsea's men's team to 18 major trophies with some of the biggest stars in world football arriving at Stamford Bridge, including Frank Lampard, Didier Drogba, Eden Hazard and N'Golo Kante.
Roman Abramovich selling Chelsea
That makes for two Abramovich public statements in less than a week for an owner who has rarely had much to say during his tenure, letting his pockets do the talking.
The second statement comes in contrast to the first issued prior to the Carabao Cup final which indicated that he would step away from day-to-day involvement, but that he would not be leaving as owner.
"During my nearly 20-year ownership of Chelsea FC, I have always viewed my role as a custodian of the club, whose job it is ensuring that we are as successful as we can be today, as well as build for the future, while also playing a positive role in our communities", the Feb. 26 club statement read.
"That is why I am today giving trustees of Chelsea’s charitable Foundation the stewardship and care of Chelsea FC. I believe that currently they are in the best position to look after the interests of the Club, players, staff, and fans."
That statement came three days after Russia's Feb. 24 invasion of Ukraine as ordered by Russian president Vladimir Putin, and in the wake of sanctions against British-based Russian investors with connections to the Russian leader.
Abramovich's ties to Putin have come under scrutiny with UK parliamentarians calling for Abramovich to step away from his role at Chelsea.
Manager Thomas Tuchel admitted in the lead-up to the Carabao Cup final that the club could become a target for negative public attention due to Abramovich's links to Putin.
The evolving situation in Ukraine has been met with widespread criticism, even from within Russia, with Abramovich's daughter Sofia posting an anti-war message on social media on Feb. 25.
Sofia Abramovich, the daughter of Chelsea owner Roman Abramovich, hits out on Instagram at "Kremlin propaganda" that claims "most Russians stand with Putin" over his decision to wage war on Ukraine. pic.twitter.com/PYOiVn1g5D
— James Franey (@jamesfraney) February 25, 2022
Who will buy Chelsea?
Now that he has confirmed his intention to sell the club, all eyes turn to the potential buyers.
As the U.K. considers a list of 120 "businesses and oligarchs" for future sanctions, Abramovich appears to be distancing himself from the U.K. and his assets there, including Chelsea.
"Roman Abramovich, I think he's terrified of being sanctioned which is why he is already going to sell his home tomorrow and sell another flat as well," said Labour MP Chris Bryant. "My anxiety is that we're taking too long about these things."
The UK Government has promised a crackdown on the influence of Russian investors and banks in London and that could impact Abramovich if the situation continues to evolve. That, however, has not yet come to fruition in actuality.
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According to reports from Bloomberg, the offers started coming in before Abramovich's confirmation he was selling the club with private investors based in the U.S. registering tentative interest in buying the club, with one offer rejected.
The Athletic at first reported that the club was not for sale, but on March 2 the story changed, with the New York Times suggesting that the Raine Group were already talking to potential investors.
The New York Times named two interested parties thus far: Swiss billionaire Hansjorg Wyss, and part-owner of the Los Angeles Dodgers Todd Boehly. Wyss had already confirmed in an interview with Swiss publication Blick that he had been approached, but suggested the current asking price was too high.
Chelsea is currently valued at an estimated $2.1 billion, as per data from KPMG, and a potential sale at that rate would represent the highest price ever paid for a football club.
Abramovich's financial power helped turn Chelsea into one of the biggest forces in European football with five Premier League titles and two Champions Leagues that can be attributed in no small part to his deep pockets.
His personal investment has brought an estimated $2.2 billion worth of players to the club in the last two decades, with $162 million spent in his first season in charge, a single-season high of $337 million in 2017-18, and $136 million in 2021-22.
What happens to Chelsea?
With four months until the transfer window reopens, questions about the impact of the move on the club's transfer plans will likely become a key topic to be addressed ahead of the summer.
There are current players on expiring contracts like Antonio Rudiger and Andreas Christensen, who have international suitors and whose final decision could be impacted by the uncertainty.
The club is currently in the midst of one of the most successful seasons in its history with multiple international trophies captured in a little over a year under Tuchel: the 2021 Champions League, the 2021 European Super Cup and the 2022 FIFA Club World Cup. The Blues are also in the FA Cup Round of 16 and the Round of 16 of the current edition of the Champions League.
Finalizing a sale before the opening of the transfer window would seem a critical step toward helping the club make all the moves deemed necessary by the technical staff to remain competitive on multiple fronts in 2022-2023.
It remains to be seen what kind of budget a new owner would establish for the summer window, especially on the heels of a purchase surpassing $2 billion. Changes to club management under a new owner could also lead to significant disruption when it comes to player negotiations.
Chelsea's main competition for domestic and international silverware are Manchester City and Liverpool, who are currently ahead of the Blues in this season's Premier League race. All three teams are still in the running for the UEFA Champions League and the FA Cup, and Chelsea lost to Liverpool in the final of the 2022 Carabao Cup.
