UK government confirm decisions over proceeds from Chelsea sale
The UK government released a statement after Chelsea confirmed the completion of the club takeover and shed light on decisions over proceeds from the sale.
The Blues confirmed the transfer of ownership to the consortium led by Todd Boehly and Clearlake Capital on Monday afternoon.
The club, therefore, secured its future after previously having to rely on a special licence granted by the government to operate following the sanctioning of Roman Abramovich.
The government, obviously, played a part in granting another licence to allow the takeover.
However, the government will continue its role in controlling the proceeds from the sale, although Chelsea can now operate as normal under new ownership.
Proceeds from Chelsea sale can only be used for humanitarian purposes in Ukraine
“All proceeds from the sale will be held in a bank account in the United Kingdom, which will be frozen in accordance with the Russia Regulations,” the official statement reads.
“Any further use of the proceeds will require a further licence under regulation 64. The Treasury will consider an application for such a licence in accordance with the Russia Regulations.”
The government reiterated that The Treasury will not issue a licence which enables any part of the proceeds from the sale to directly or indirectly benefit Abramovich.
The Russian-Israeli billionaire himself has previously confirmed that he does not seek repayments of loans made to affiliates of Chelsea.
“Furthermore, the Treasury will only issue a licence which ensures that such proceeds are used for exclusively humanitarian purposes in Ukraine,” the government statement continues.
“The United Kingdom will work closely with the Portuguese Government and the European Commission when considering an application for such a licence and the destination of the proceeds.”
Interestingly, the statement did not mention the figures involved in the acquisition.
Various reports mentioned that the overall takeover value reaches £4.25billion, but as The Independent suggested, £1.75bn of it is meant to be for further investment, including a potential stadium project.