Chelsea averted a Premier League financial rules breach by selling their women’s team to their parent company for over £150 million, but the move could violate UEFA regulations.
Chelsea have avoided breaching the Premier League’s Profitability and Sustainability Rules (PSR) thanks to a £198.7 million profit generated by selling their women’s team and other subsidiaries to the club’s parent company, Blueco 22 Midco Ltd. The women’s team alone is believed to have been valued at over £150 million in the transaction, which took place just days before the financial deadline.
This strategic manoeuvre, along with £152.5 million in player sales, helped Chelsea post a net profit of £129.6 million despite operating losses and a dip in revenue from missing out on Champions League football. While the Premier League allows such intra-company sales, UEFA does not — putting Chelsea at risk of breaching European financial regulations. Chelsea defended the restructure as a means to provide focused commercial leadership for the women’s team.