Birmingham City Confirm Tom Wagner Share Acquisition
Birmingham City Football Club has announced its owners have exchanged two signed Sale and Purchase Agreements (SPA).
Birmingham Sports Holdings Limited (BSHL) will transfer 24% of the shares in Birmingham City PLC to Shelby Companies Limited whilst Oriental Rainbow Investments Limited and Achiever Global Group Limited will transfer 21.64% of the shares in Birmingham City PLC and 100% of the shares in Birmingham City Stadium Limited, to Shelby Companies Limited.
After the transfer of shares Shelby Companies Limited will own 45.64% of Birmingham City PLC and all the St. Andrews Stadium.
Shelby Companies Limited is a subsidiary of Knighthead Annuity & Life Assurance Company, and managed by American financier, Tom Wagner.
Both SPA’s are subject to approval from both the English Football League (EFL) and the Hong Kong Stock Exchange.
Birmingham City will remain under the control of the current Board until the relevant Owners and Directors Tests (OADT) have been approved by the EFL and after the completion of the contracts.
In a letter to Birmingham City fans, Thomas Wagner, Knighthead Co-Founder and Co-CEO, wrote:
“Knighthead Capital Management, LLC (Knighthead) can confirm that, through its affiliate, Shelby Companies Limited, it has exchanged contracts with the majority owners of Birmingham City Football Club including Birmingham Sports Holdings Limited.
It has been a complex negotiation and the Share Purchase Agreements (SPA) are subject to approval from the Hong Kong Stock Exchange and customary regulatory authority approvals in the UK. Approvals are anticipated within the coming weeks.
Assuming the requisite regulatory approvals are granted, the structure of the transaction means that Knighthead will have full ownership and control over St. Andrew’s, part ownership of Birmingham City Plc, significant representation on the Board of Birmingham City Plc and a certain path to ensuring the future of the club is in good and safe hands.
Knighthead, subject to the rules of the English Football League (EFL), will assume responsibility for the day to day running of the club, alongside other stakeholders.
We have a passion for sport. We have been involved in, and have seen first-hand, its ability to drive positive economic and social change. We plan to commit the resources, in line with EFL guidelines, the skills and the determination needed to deliver transformational improvements for the good of the club and the good of the city. The potential for Birmingham City is unlimited.”
