John Textor has agreed to sell his stake in Crystal Palace to Woody Johnson
John Textor has agreed to sell his stake in Crystal Palace to Woody Johnson
Crystal Palace co-owner John Textor plans to buy another English club after agreeing to sell his stake in the Premier League side to fellow American Woody Johnson.
Textor has signed a legally binding deal to sell his 43 per cent stake in Crystal Palace to Johnson, the former US ambassador to the UK who owns the NFL team New York Jets, for around £175m. The transaction values the London club at around £400m.
The move has been fast-tracked in a bid to ensure Crystal Palace can play in the Europa League next season, after Uefa said Textor’s ownership of Lyon might scupper their qualification.
Textor is understood to be keen to reinvest the proceeds immediately in another English club to maintain a UK arm of his Eagle Football multi-club group, which also includes Brazilian champions Botafogo.
He is believed to favour purchasing a club with turnaround potential in the Championship, although he has not ruled out investing in another Premier League team.
Under Textor’s ownership, Botafogo have won both the Brazilian domestic title and the Copa Libertadores, South America’s equivalent of the Champions League.
They qualified for the current Club World Cup, where they beat newly-crowned European champions Paris Saint-Germain 1-0 last week.
Lyon, meanwhile, finished sixth in the French top-flight last season to qualify for the Europa League despite the threat of relegation over outstanding financial liabilities.
Through Eagle Football, Textor is also the majority owner of Belgian second-tier side Daring Brussels, who this month were rebranded from RWD Molenbeek.
The 59-year-old had hoped to buy out fellow Palace shareholders Josh Harris, David Blitzer and Steve Parish but Uefa’s position on their European qualification has instead forced him to sell.
Johnson, 78, is the heir to the Johnson and Johnson pharmaceuticals giant and is worth a reported £7bn.
He has owned the New York Jets since 2000 and was involved in a bid for Chelsea when previous owner Roman Abramovich was pushed into selling by UK sanctions.
Johnson’s purchase of Textor’s Palace stake must be approved by the Premier League and it is not yet clear whether that will happen in time for Uefa to grant the club’s place in the Europa League for the first time next season.
It is understood that Textor had other interest in his shares but opted for a quick sale in order to leave on good terms and give Palace the best chance of playing in Europe.
Eagle Football is believed to be pressing ahead with plans for an IPO in the US, having formally lodged its intention with the SEC on 13 June.