Premier League side Southampton has become the "latest European football club to come under Chinese ownership," according to Ahmed & Massoudi of the FINANCIAL TIMES. Real estate magnate Gao Jisheng "sidestepped a mainland crackdown on overseas acquisitions" to finalize a deal worth about £200M ($259.2M). Southampton Owner Katharina Liebherr confirmed that a deal with Gao, who controls Chinese real estate group Lander Holdings, and his daughter Nelly had been completed, and welcomed the new "partners" to the club. Southampton declined to provide financial details of the transaction, but a person close to the deal said that the Gao family had acquired an 80% stake in a transaction that valued the club at about £200M. The deal "had been held up as Chinese authorities toughened their regulation of foreign investments." Dealglobe advised the Gao family, while UBS advised Southampton (
FT, 8/14). In London, Evan Bartlett reported Liebherr promised fans and employees "business as usual" in a statement announcing the new deal on Monday. She said, "Following extensive and fruitful work, we are entering into a partnership with the Gao family and I am excited about what we will achieve together. Today is the start of a new and exciting chapter for our club. Mr Jisheng Gao and his daughter, Mrs Nelly Gao, with whom I have built a close relationship, share our values and ambitions." Liebherr added that club Chair Ralph Krueger "had the full support of the new investors." Gao, who has been in talks with Southampton for "nearly a year," said that he was "honoured and humbled" to have a stake in the club (
INDEPENDENT, 8/14). Also in London, Ian Herbert reported the
Premier League gave approval in June for the takeover of the club by Jisheng's company. The deal takes the number of European clubs under Chinese ownership to 28, "with another British deal expected next month." Six of those 28 are British: West Bromwich Albion, Birmingham City, Aston Villa, Wolverhampton Wanderers, Reading and Northampton -- with Man City 13%-owned by Chinese. The "low key nature" of Southampton's announcement -- which described the deal as a "partnership" rather than the acquisition that it is -- "suggests that Jisheng will maintain continuity on the South Coast and will not seek high profile or to shake things up" (
DAILY MAIL, 8/14).
