By Dina Kartit and Piotr Lipinski
(Reuters) – Olympique Lyon have received assurances from Eagle Football’s majority shareholder John Textor that the takeover of the club will go through, the French soccer team said on Thursday, sending its shares soaring more than 20%.
The American investor, who is also the majority shareholder of SAF do Botafogo in Brazil, said that Eagle Football Holding will complete the long-awaited purchase of the French club, announced in July, adding that he hopes that the deal will close soon.
Eagle Football will pay around €327.4 million to Lyon’s main shareholders for 39.2 million shares and 789,824 subordinated bonds redeemable in new or existing shares. The negotiation will be followed by a tender offer for the remaining shares.
Eagle Football has secured the necessary funds to complete the deal “in the coming days” as well as for the takeover bid, Textor said in a letter to Lyon and its shareholders quoted in the club’s own statement.
“Therefore, we feel confident that the remaining consents must be obtained and agreements signed shortly so that all conditions are satisfied to complete the transaction,” he said.
The American billionaire bought stakes in football clubs around the world, including Crystal Palace, in the English Premier League, and Molenbeek, in the Belgian second division, in addition to Botafogo.
His plan is to beat the system dominated by big European clubs by developing young talent from North and South America through a network of clubs.
“We are more than ever excited and fully committed to the development of Olympique Lyon under the direction of (President) Jean-Michel Aulas and his team,” said Textor.
Eagle Football has also agreed to underwrite a private placement of Lyon shares worth €86m once the takeover is completed.
The French club, which has been listed on the stock exchange since February 2007, has seen the price of its shares sink over the years from an original value of 24 euros per share to 2.61 euros today.
(Additional reporting by Tristan Chabba; Editing by Tristan Chabba)
