A few weeks ago, news of Roman Abramovich selling Chelsea broke out and the footballing world descended into chaos. Chelsea supporters worldwide became a wave of concern while rival fans started celebrating at the thought of Chelsea’s potential downfall.
After all, the man who saved Chelsea from liquidation in 2003 was now sanctioned and the statement he put out via Chelsea’s website saying he was looking to sell the club was now taken out of his hands.
Enter The Raine Group. The global merchant bank that is responsible for one of the most lucrative deals in sporting deals in history – the sale of Chelsea Football Club.
But who exactly is The Raine Group? Why did Mr Abramovich choose them to deal with the sale of his beloved club? Who exactly are they, and what do we know of them?
There isn’t much available on The Raine Group apart from the numerous deals they have overseen in the realms of technology, sports, media and telecommunications.
The Raine Group has been drawn into controversy due to the ongoing online campaign against the Ricketts family which turned into a protest outside the bridge at Chelsea’s eventual 4-1 battering to Brentford. Reports emerged of The Raine Group sharing a close relationship with the Ricketts, which has led other bidders and fans to believe that the entire process of selling Chelsea was rigged from the start, or that The Raine Group is showing preferential towards the Ricketts, despite the tremendous backlash.
The question is, why have The Raine Group not ruled out the Ricketts? Why were they even shortlisted in the first place? The vast majority of fans do not want The Ricketts and it seems the Uk government are also taking concern over the fans distaste. The Raine Group initially stressed the same sentiment, but now that seems to have changed.
“ We are not going to rush anything. It is very important that Chelsea have the right owner to guide the club forward,” said Joe Ravitch, partner and co-founder of The Raine Group. These words clearly do not match the group’s actions, as the Ricketts have been deemed one of the favourites to buy Chelsea, despite there being citings from their time in charge of the Cubs which would suggest they are not the most appropriate stewards for Chelsea.
Is there something behind the scenes that The Raine Group does not want fans to be aware of?
Joe Ravitch is believed to be leading the sale on behalf of Raine, along with Colin Neville, another partner for the bank. Both have made their Twitter accounts private since fans a few weeks ago started the #NoToRicketts and bombarded their accounts with replies.
Neville’s profile is particularly interesting when it comes to this sale. As per The Raine Group’s website:
“ He (Colin Neville) has worked on a variety of advisory assignments across the global sports landscape, including the sale of the UFC to Endeavor, City Football Group’s sale of minority interests to Silver Lake and China Media Capital, DraftKings’ combination with Diamond Eagle and SBTech, Joe Tsai’s acquisition of the Brooklyn Nets and Barclays Center, Fanatics capital raise from the NFL and MLB, Steve Ballmer’s purchase of the Los Angeles Clippers, the acquisition of Inter Miami CF, the sale of DC United, FC Cincinnati’s sale of minority interest to Meg Whitman, WME’s acquisition of IMG and Flash Entertainment’s purchase of a minority stake in the UFC “
“ Colin works extensively with leagues and teams, as well as technology, data services and media companies across the sports landscape.”
Despite so many connections to different teams in the sports landscape, what has come to light is The Raine Group’s SPAC with the Ricketts family, in particular Tom Ricketts, chairman of the Chicago Cubs.
This SPAC, or Special Purpose Acquisition Company, is the root of the relationship that The Raine Group seem to have with the Ricketts, which is where arguments for their preferential treatment stem from.
What has not been written about, however, is the relationship The Raine Group has with Apollo Global Management or the Los Angeles Dodgers.
Apollo Global is an American alternative investment management firm, co-founded by Josh Harris who is one of the men involved in bidding for Chelsea, believed to be part of Sir Martin Broughton’s consortium. Harris owns an 18% stake in Crystal Palace, which he would have to divest if he were to buy Chelsea.
The Raine Group’s links to Apollo Global are interesting. Endeavor – mentioned above in Colin Neville’s profile – is an American holding company for talent and media agencies. The Raine Group, together with Endeavor, have reportedly raised a lot of money for the Emirati state-owned holding company, Mubadala.
Mubadala is the biggest outside investor in Apollo Global. Apollo Global’s other co-founder, Leon Black, funded convicted sex offender Jeffrey Epstein. Black has denied allegations from an ex-girlfriend, who claims the billionaire once flew her, against her will, to Florida to “satisfy the sex needs” of Jeffrey Epstein.
Black has since stepped down from his position as CEO and co-founder of Apollo Global, but Josh Harris still derives most of his wealth from the company, which is in turn linked to The Raine Group through Mubadala and Endeavor.
The LA Dodgers have a simpler connection with The Raine Group. As per their website, The Raine Group were simply advisors to Jamie McCourt, former owner of the Dodgers, on the sale of the team to Magic Johnson and Guggenheim Partners.
One member of Guggenheim Partners is Todd Boehly, the man fronting his own bid for Chelsea and is seen as one of the favourites alongside the Ricketts. Boehly owns a 20% stake in the LA Dodgers and is also a part-owner of the LA Sparks, a basketball team that competes in the WNBA.
Another interesting link here is that Guggenheim, together with actor Channing Tatum and the aforementioned Endeavor, agreed to backstop their own SPAC in a proposed $1 billion merger between LA-based blank-check firm Bright Lights and Manscaped in November 2021.
As you can see, there are links between The Raine Group and Endeavor, The Raine Group and Apollo Global Management, The Raine Group and Guggenheim, and Guggenheim and Endeavor. While The Raine Group’s links to Apollo Global are distant, they are not insignificant. The relationship The Raine Group has with the LA Dodgers is also fairly direct.
It’s quite clear at this point that The Raine Group does share a relationship with two other parties who are also involved in the sale of Chelsea – Josh Harris, via Apollo Global Management, and Todd Boehly, via Guggenheim Partners.
Evidence has stretched far and wide to determine that Chelsea fans are not happy with The Ricketts being shortlisted and many do not see them as fit to be stewards of the club. Fellow bidders have criticised The Raine Group, calling it a breach of policy. Yet, the Ricketts still remain shortlisted.
This begs the question: Is The Raine Group conducting this sale professionally, thoroughly and honestly, with the fans and the future of the club in mind? If they share a relationship with three bidders involved in the sale process, can it be seen as a level playing field, or are the claims of preferential treatment towards the Ricketts legitimate?
The Raine Group has remained silent since Joe Ravitch’s first statement. As time wears on, Chelsea fans are getting more impatient with the deadline being extended until April 14th for final binding offers which must guarantee £1BN + extra investment for the squad, stadium and facilities.
It’s understood that The Ricketts Family’s bid which includes backing from Ken Griffin and Dan Gilbert is in a two horse race with Todd Boehly’s consortium which includes backing from LA Dodgers principal owner Mark Walter, Swiss billionaire Hansjorg Wyss and London born property developer Jonathan Goldstein.
