Chelsea 'on the brink of civil war' as Todd Boehly's relationship with Clearlake reaches 'breaking point' over intense buyout dispute between co-owners

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Chelsea are reportedly ‘on the brink of civil war’ as Todd Boehly’s relationship with Clearlake reaches ‘breaking point’.

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Boehly, the American billionaire and co-owner of Chelsea, is said to believe that his relationship with Clearlake Capital, which owns the majority stake in the club, has become unsustainable and is pushing for an urgent resolution to prevent the situation from spiralling further and causing irreparable damage to the club’s stability both on and off the pitch. The stakes have been raised as both parties are reportedly considering a buyout, with Boehly and Clearlake willing to purchase each other’s shares.

Clearlake Capital, led by Behdad Eghbali and Jose E. Feliciano, holds a 61.5 per cent controlling stake in Chelsea, making them the club’s majority shareholders. Despite the ongoing tensions, Clearlake has remained steadfast in their refusal to sell any portion of their ownership. On the other hand, Boehly, who holds a 38.5 per cent stake in the club along with partners Hansjorg Wyss and Mark Walter, believes he has the resources to launch a full takeover of Chelsea which could cost over £2.5 billion.
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  The root of the conflict between Boehly and Clearlake appears to be a deep strategic divide over the future direction of Chelsea. Boehly reportedly has a “20 to 30-year vision” for the club, and during this period he wants to build a new stadium and ignite long-term projects which would aim at solidifying Chelsea’s position as a top European club. Clearlake, on the other hand, views their investment as a “decade-plus commitment”.
- A COMPLEX OWNERSHIP STRUCTURE
  
  Complicating matters is the co-ownership agreement between Clearlake and Boehly, which includes contractual rights that give both parties “matching rights and blocking options”. This means that if either side tries to sell their stake in Chelsea, the other has the right to match the offer or block the sale to a third party. If Clearlake wants to buy out Boehly’s shares then it could potentially cost £1.5 billion, as it would also involve purchasing Wyss and Walter’s shares, ensuring that all investors make a profit on their initial investment.
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  WHAT NEXT?
  
  While Boehly wants to leave sporting affairs and day-to-day operations to the people who are working behind-the-scenes at Cobham, Eghbali has taken a more “hands-on approach”. This divergence in ownership style has caused additional friction, as Boehly’s vision for a more detached role clashes with Eghbali’s desire to be more involved.
  
  Chelsea’s future is currently at a crossroads, as the ownership battle between Boehly and Clearlake Capital threatens to destabilise the club. Clearlake could eventually take control of the chairmanship at Chelsea in 2027, as per a contractual agreement that allows the club’s owners to rotate the role every five years. However, given the severity of the ongoing dispute, it appears increasingly likely that the ownership dynamics at Chelsea might undergo significant changes before 2027.