Textor looks at Championship after missing out on Everton

John Textor, the American billionaire with an expanding portfolio, is reportedly looking to acquire a controlling interest in a Championship club. This comes after his recent failed attempt to purchase Everton. The Friedkin Group has just acquired the Toffees. Textor already holds stakes in several clubs worldwide. Thus, he is now aiming to add an English team to his collection. Reports suggest a deal could be on the horizon.

The 59-year-old had been vocal about his desire to purchase Everton. His interest in acquiring Farhad Moshiri’s majority share in the club was no secret. However, a critical roadblock stood in the way: his 45% shareholding in Crystal Palace. It’s what made it difficult to move forward with the Everton deal. His stake in Palace, which includes around 25% of the voting rights, prevented him from quickly divesting his interest in time to secure the Everton takeover.

Ultimately, another American billionaire, Dan Friedkin, re-emerged as a key player in the Blues’ future. Friedkin had previously stepped back from negotiations due to concerns about the club’s substantial debt. It included over $265 million tied to 777 Partners. However, after conducting further due diligence, Friedkin re-entered talks. His American consortium will finalize the deal before the end of 2024 pending regulatory approval. The Premier League, the Football Association, and the Financial Conduct Authority must approve the transition.

Textor switches aspirations to Championship

With the Everton opportunity slipping away, Textor has turned his attention to a Championship club. French media outlet Le Progres suggests that he has already identified two clubs in England’s second tier that could be potential targets. His move to acquire a majority position in a Championship side aligns with his broader vision of expanding his sports portfolio.

His company, Eagle Football Holdings already controls French Ligue 1 club Lyon, Brazilian side Botafogo, Belgian team Molenbeek, and the American soccer academy FC Florida. Textor’s stake in Crystal Palace is also part of this portfolio. He hopes to eventually flog Eagle Football Holdings on the New York Stock Exchange. Thus, acquiring a Championship team would help him achieve both of those goals. The initial public offering (IPO), with a projected value of $2.3 billion, is anticipated to occur before the year ends.

The appeal of English teams

English soccer has become a hotbed for international investors, particularly from the United States, due to the lucrative broadcasting deals associated with the Premier League. Even clubs outside the top-tier “big six” teams, such as Bournemouth and Brentford, have seen strong valuations compared to clubs in other major European leagues like France’s Ligue 1. For investors, the potential for promotion from the Championship to the Premier League makes English soccer especially attractive. Promotion to the top flight is often dubbed the “richest game in football.” The financial rewards from media rights and sponsorship deals run into hundreds of millions.

Textor’s reported interest in a Championship club seems to be driven by this financial potential. With promotion to the Premier League being a transformative event for any club. Investors have been flocking to English clubs across the Premier League and the EFL. Birmingham City , Leeds, and Wrexham are prime examples of clubs on the rise, aiming for promotion to the first division.

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