An unsuspecting US billionaire shakes up the transfer market
Brazil, Belgium, England, France: In this quartet, football investor John Textor is causing a stir on the transfer market himself. High transfer fees and dubious lease agreements certainly pique the interest of competitors - but Textor's tricks are not illegal.
Summer time, transfer market time: While Bundesliga teams are slowly getting into the swing of things when it comes to new signings and sales, a billionaire in France is having a ball with millions. Olympique Lyon is chasing a record transfer this week. Textor, with his investment group Eagle Football Holdings, must be careful at the four international clubs under his control to avoid violating UEFA's Financial Fairplay and the financial oversight of each league.
Lyon has long yearned for the glory of its past with superstars like Karim Benzema and Juninho, the serial champions from 2002 to 2008, who are now a gray mouse in the French Ligue 1 - the Lyonnais no longer play a role in the title race. Textor wants to change that with his investment group, which also owns 40% of Crystal Palace, 80% of RWD Molenbeek in Belgium, and 90% of Botafogo in Brazil. Between these clubs, the 58-year-old has already spun a transfer network.
Last summer, Molenbeek signed the then 19-year-old Ernest Nuamah for 25 million Euro. He was the most expensive sale in Danish football - Nordsjaelland was the selling club - and the most expensive purchase in the Belgian league. Nuamah never played a game for Molenbeek, but was immediately loaned to Lyon, who were under scrutiny from the French financial control body DNCG at the time. A year later, Nuamah was bought for 28.5 million Euro. Lease agreements from Duje Caleta-Car, Said Benrahma, and the former Stuttgart player Orel Mangala were also converted into fixed transfers. Total cost: around 40 million Euro.
A record is being chased
Brazil was already involved in the lively dealings along the Rhone in the winter. At that time, two players from Botafogo moved to Lyon: Adryelson and Lucas Perri, each for around 3.5 million Euro. These transfer fees were not in line with market value. Botafogo and Lyon now both hold 50% of the transfer rights and would receive a share of any future sale.
Currently, Lyon is Textor's main focus, where he is President, Managing Director, and Shareholder. The transfer fees caused a stir there at the beginning of July, setting new records within a week. Mangala was the most expensive club transfer at 23.4 million Euro for just two days, then Nuamah was bought from Nottingham Forest for 31.5 million Euro the next day. Mangala and Niakhate came from Nottingham Forest, a Premier League club that had already been penalized for its transfer spending and violation of sustainability regulations in the league.
Curiously, Nottingham Forest reportedly wants an Irish defender from Lyon - Jake O'Brien - as Niakhate's replacement and is willing to pay around 34 million Euro. Three times the market value. The 23-year-old had been active in Crystal Palace's second team for a long time, was then loaned to Molenbeek, and was sold to Lyon last summer for a modest million. So, millions were simply transferred back and forth without an adequate countervalue.
"A man understands investors well. Textor felt pity for Nottingham Forest owner Evangelos Marinakis after the points deduction. "Does that make sense? Marinakis has a lot of money to finance his team, but he can't. If he spends too much and caters to the fans, someone comes and takes points away? That's not right."
"Financial Fairplay is a deceitful term"
Funny, these Premier League rules. Since 2013, the "Profit and Sustainability Rules" (PSR) have been in effect, allowing clubs to lose a maximum of 105 Million Pounds (136 Million Euros) per year, provided they can offset 90 Million (106 Million Euros) of that. Textor is not tired of mentioning his opinion on the English PSR system. "Financial Fairplay is a deceitful term when it comes to sustainability." The rules were made so that clubs, which do not generate significant revenues, cannot catch up sports-wise. "In terms of sustainability, it should be about the quality of the balance sheet, not the figures in the profit and loss statement."
So speaks not a football expert, but a financier. Textor, who made his money in Hollywood with animation companies, continues to work on his goal of finally winning a title with one of his clubs. At Crystal Palace, the American's engagement is soon coming to an end. He is actively looking for a buyer for his shares, Textor said in May. Instead, the American wants to take over FC Everton.
Meanwhile, a new player transfer deal is brewing in Lyon: In July, the Argentine Thiago Almada will switch from the MLS club Atlanta United to Botafogo for 19.5 Million Euros. The most expensive departure in MLS history and, of course, a record transfer for Brazilian clubs, whose clubs usually finance themselves through sales of this magnitude. Almada will not stay long. According to media reports, the 23-year-old will join Lyon in January, and then Botafogo's season will end. In the books, there will likely be a loan or a partial transfer, which will not alarm the financial authorities. Textor's tricks are once again in full swing."
- Amidst the Premier League's transfer market buzz, John Textor and Olympique Lyon are also engaged in negotiations, with speculations of a significant transfer occurring within the club.
- With Textor's investment group Eagle Football Holdings having a stake in Botafogo in Brazil, there are rumors of a potential transfer involving Argentine Thiago Almada, which could break records for both MLS and Brazilian clubs.
