Crystal Palace Owner Has Upper Hand in Lyon Takeover Race

Foster Gillett was reportedly set to take over Olympique Lyonnais in early June, but the Ligue 1 team is now in exclusive talks with a different U.S. investor: John Textor.

The co-owner of Crystal Palace FC is in discussions to take over around 66% of the club for $846 million, according to Forbes. Of that figure, $91 million will go toward acquiring players.

• The transaction will reportedly include a recapitalization of the holding company OL Groupe SA with the firm Holnest, which is owned by chairman Jean-Michel Aulas. It includes other OL Groupe sports teams, including NWSL club OL Reign.
• Under French takeover rules, Textor’s stake could end up larger than the original negotiations, as he will be required to make a tender offer to other shareholders.
• The investment will go toward shares from IDG Capital Partners and Pathé, both of which have less than a 20% stake in the club, as well as Aulas’ shares.

Aulas, who has owned the club since 1987 and currently has a 28% stake, will stay on as CEO and keep the current management team, according to Holnest, Pathé, and IDG.

Textor also recently purchased stakes in Belgian club RWD Molenbeek and Brazil’s Botafogo.

The Competition

Gillett, the son of former Liverpool FC co-owner George Gillett, was reportedly set to acquire Lyon for around $636 million, including a $106 million injection into the team, but talks stalled.

The team reportedly also had a third bidder.