SISU Capital Ltd, the owners of Coventry City Football Club, has agreed – subject to EFL approval – to sell a majority stake in the football club to local businessman, Doug King, who will take an 85% share.
The deal will involve clearing all of the Club’s current debts, leaving it debt free.
The Club has also announced it will be making an equity bid to acquire the CBS Arena, following the administration of Wasps Rugby Club. The structure of the stadium bid will ensure Coventry City FC remains initially debt free and provide a new start for the Club, under fresh ownership.
If the bid is successful, it would ensure the Sky Blues remain able to play home games in the city and is the only bid which can make this long-term guarantee.
Doug King, CEO of Stratford-upon-Avon based, Yelo Enterprises, recently invested over £70m in the region through the construction of a state-of-the-art oilseed processing facility to generate renewable energy. Doug also co-founded, and majority owns, RCMA Capital LLP, which oversees investments of over $400m.
Joy Seppala, Chief Executive at SISU Capital Ltd, said: “This is a fantastic moment for Coventry City FC and the city. I know that Doug has long been an admirer of the Sky Blues and will be a powerful steward of the Club moving forward.
“He shares our ambition to deliver the most successful football club possible, to climb the football pyramid, and invest both on and off the field. I am looking forward to a bright new future working with Doug, and all our partners across the city.
“The sale of the CBS Arena does provide short term uncertainty and with Doug on board we intend to set out a robust bid for the stadium which, if successful, will provide a platform for long-term success.”
Doug King, CEO of Yelo Enterprises, said: “It is no secret that Coventry City FC has faced challenges in recent years, and Joy and her team have done an exceptional job to bring the Club back to Coventry and deliver on-field success.
“Working together we want to deliver a new start, beginning with securing our home in Coventry. We know fans, and others across the region, want long-term security and the guarantee of playing football in our city. This is critical to our ambition.
“We have made it a priority – and one of our first acts as majority owners – to submit a bid to acquire the CBS Arena. We are keen to meet with Coventry City Council representatives and others as soon as possible to set out our vision – which includes the regeneration of the area.”