American capital is buying the heart of English football at an unprecedented rate. More than half of the clubs in the Premier League are already owned by Americans. This will not only change the ownership structure of the teams, but also have the potential to fundamentally reshape the future of the sport.
The frenzy and territory of US-owned acquisitions
In the summer of 2022, Chelsea was acquired for 4.25 billion pounds. Since then, only two and a half years have passed since American capital completed the acquisition of the third Premier League club, Everton. Currently, 10 of the 20 Premier League teams are controlled by American capital, taking the lead in breaking through the 50% mark. This trend of acquisitions is not limited to the top leagues. In the English Championship, American capital also controls seven clubs, including Leeds United and Burnley, thus forming a three-dimensional investment network from the Premier League to the English Championship.
Why the Premier League is the top destination
The Premier League has unparalleled commercial value, which makes American capital love it. In the 2023-2024 season, the Premier League's total domestic and international television broadcast rights revenue will exceed 3 billion pounds, which far exceeds the other four major leagues. Its global audience is measured in billions, and its brand influence is huge. Compared with the four major sports leagues in North America, which often have team valuations in the billions of dollars, the cost of acquiring a mid-tier Premier League team is generally several hundred million pounds, so it is regarded by American capital as a high-quality asset with "extremely cost-effectiveness."
The fall of the "Roly-poly" club
Everton's change of owner is representative. It is one of the only six "founding members" that has never been relegated from the Premier League. Today, among these six veteran clubs, only Tottenham Hotspur has not yet been controlled by American capital. Manchester United, Liverpool, Arsenal, Chelsea and Everton have all been included in the territory of American capital. The changes in the traditional football map directly reflect the reshuffling of capital power.
The role of investment funds and profit drivers
In recent years, the influx of investors is not all individual tycoons, but more North American private equity and hedge funds. Clear Lake Capital, which controls Chelsea, is a typical representative, and Eagle Football Holdings, which controls Crystal Palace, is also a typical representative. Their core goal is financial returns. For example, even if Ipswich is relegated this season, its American investors can still rely on the Premier League's "parachute clause" to receive compensation of more than 200 million pounds, and investment risks are relatively controllable.
The ambition and attempt of “North Americanization” transformation
The bosses who invest in North America are not just satisfied with pure financial investment, but also have expectations to transplant the operating model of professional sports in North America to the Premier League. As early as 2011, some clubs owned by North American funds had discussed abolishing the promotion and relegation system. Now, they are working hard to adjust the game time in order to take care of the audience in North America, and they are also proactively organizing teams to go to the United States to carry out commercial events in the summer. The chairman of Fenway Group, the owner of Liverpool, has publicly issued a call for the Premier League to hold regular overseas matches around the world like the NBA.
Future trends and potential impacts
Half the club being controlled is just a milestone. British media analyzed that once the number of clubs controlled by US capital reaches 14, that is, two-thirds of the total, they will have sufficient voting rights to promote more radical changes to the competition system, such as the introduction of playoffs or permanent seats. At the same time, American capital is vigorously promoting the planning of the European Super League and accelerating its expansion into Serie A and other leagues. It seems that there is no way to stop the process of "North Americanization" of the Premier League and even European football.
In the eyes of those fans who have become accustomed to the traditional competitive style and community spirit of the Premier League, what do you think of such profound changes caused by capital? Does it promote the league's prosperity and development in the direction of globalization, or does it erode the original characteristics of football culture? Welcome to share your views in the comment area.
