The breakup was formalized on June 30. John Textor was removed from his functions as president of Eagle Group and had to give in control of the financial structure which oversees the whole to Christopher Mallon. The latter, commissioned by the Investment Fund Ares, now has the sole objective of straightening and supervising the accounts. For Textor, this retreat marks the end of its direct control over the financial flows and the overall strategy of the group which he himself built.
New Force Report in Lyon
In Lyon, power has changed hands. Michele Kang, new president of OL and Eagle Football, clearly claimed to have “100 % of operational control”, seconded by managing director Michael Gerlinger. They form, with other shareholders such as Jean-Pierre Conte and representatives of Ares, a new management center. This governance, which advocates “transparency”, was put in place to isolate the former strong man and restore confidence after his management deemed opaque.
The most striking illustration of this new reality is the transfer of Thiago Almada. The 21 million euros paid by Atlético de Madrid do not join a “common pot” for the group's clubs, but are directly arrows to the parent company, now locked by Ares. The fable of a cash flow between Lyon, Botafogo and Molenbeek according to needs has lived; Make way for centralized and rigid financial management where each euro is controlled.
In Lyon as elsewhere, Textor loses his hand
Financial taps cut for textor
Theoretically majority shareholder, John Textor is today an owner without real power over his main asset, OL. He seems to have withdrawn to Botafogo, Brazil, where his influence remains more active. However, even there, the last echoes suggest that the financial situation would be precarious despite sporting successes. The businessman therefore finds himself surrounded by all sides, with a room for maneuver which has been considerably reduced over the weeks.
His departure seems inevitable and several scenarios are envisaged to dismiss it permanently. This could go through a negotiated arrangement, a dilution of his capital that he could not follow, or more severe legal proceedings. The final threat remains the outright control by Ares, which could activate the pledge of Textor's shares if the value of OL were to be too depreciated. The noose tightens.
