Oympique Lyonnais: agreement with Chinese fund IDG Capital Partners to acquire 20% for €100m

OL Groupe, the holding company of Olympique Lyonnais (Ligue 1), announced the signing of a "term sheet" (or memorandum of understanding) with the Chinese investment fund IDG Capital Partners for the proposed entry into the capital of OL Groupe up to 20%, on 12/08/2016. The amount of the transaction could be €100m, valuing the OL Groupe at €400m before investment, and €500m post-investment.

This agreement is accompanied by a proposed joint venture to increase the notoriety of Olympique Lyonnais, and use its expertise in the People's Republic of China, Hong Kong, Macau, and Taiwan. "OL Groupe plans to use a substantial portion of the proceeds of this investment to refinance part of its indebtedness and reduce its financial expenses," added the holding company of the Lyon club.

"This fourth development phase after the arrival of Pathé as a shareholder in 1999, the initial public offering in 2007, and the opening of the stadium and of training and practice centers in 2016, will enable OLG to accelerate its international ambition, and its growth strategy, with a Chinese partner, which…