Crystal Palace hawked for sale in £210m deal
Crystal Palace are being hawked to prospective buyers in a deal which would value the Premier League football club at £210m.
A document circulating among bankers and seen by City PM offers to facilitate the purchase of at least 75 per cent and up to 90 per cent for either a single buyer or a consortium.
Any takeover would offer a way out to Josh Harris and David Blitzer, the Wall Street-based financiers and US sports team owners who bought a controlling stake in the south London team in 2015 but were widely reported to be eyeing a sale earlier this year.
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Palace declined to comment but it is understood that the document was not drawn up by the club.
Chairman and minority owner Steve Parish is open to staying on but willing to dilute his stake, according to the teaser document, which is designed to tempt suitors and is dated September 2019.
Leading English clubs remain attractive investments due to the league being the richest in the world, with combined revenue of £4.8bn in 2017-18.
Palace’s income grew slightly to £150.3m for the year ending June 2018 although the club made a loss of £35.5m which was attributed to the signing of players to stave off the threat of relegation.
Stadium redevelopment
The Eagles hope to increase revenue with a redevelopment of their Selhurst Park stadium and improvements to their successful academy.
The projects require a combined outlay of £140m but will increase income by £24m a year, according to the investor summary.
The document – issued by Zenith Global Capital Partners – says the club would be sold debt-free and has a projected valuation of £525m by year three and £700m by year five.
It adds there is “real potential” to qualify for European competitions “with subsequent financial uplift”.
Palace returned to the Premier League in 2013 and have since finished between 11th and 15th each season. The team is currently ninth in the table.
The club’s hierarchy successfully resisted the sale of star player Wilfried Zaha during the summer transfer window but cashed in on fellow academy product Aaron Wan Bissaka, who joined Manchester United in a deal worth around £50m.
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Harris, who co-founded Apollo Global Management, and Blitzer, an executive at Blackstone, also control NBA basketball team the Philadelphia 76ers and NHL ice hockey franchise the New Jersey Devils.
Main image credit: Getty