Richard Masters speaks out as truth about £200m Chelsea 'loophole' emerges

Richard Masters has acknowledged for the first time that Chelsea selling their women's team to their parent company BlueCo for almost £200million did not constitute 'exploiting a loophole'.

The Blues thus recorded a pre-tax profit of just under £130million for the 2023/24 season. That windfall aided their compliance with Premier League profitability and sustainability rules.

However, it remains subject to league approval. The club also acknowledges that, including a clause in the deal that would necessitate an 'adjustment to the consideration receivable in the event that the Premier League's determination of the fair market value differs from the £200m recognised'.

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Premier League chief executive Masters was asked about the matter during a Football Supporters' Association event, the minutes of which have been made available. Fulham fan representative Sarah Keig posed the query.

"SK raised concerns about Chelsea Football Club selling their women's team for a reported £200m to pass profit and sustainability rules, thereby exploiting a loophole," the minutes read. "RM said the club hadn't exploited a loophole as what Chelsea did was permissible and he stressed that all transactions are subject to a fair market value assessment."

Reddit co-founder Alexis Ohanian has since become a minority investor in Chelsea Women by buying an 8-10% stake for around £20million. He has since proudly proclaimed to the BBC that "this will be a billion-dollar franchise one day."

Ohanian was previously the controlling owner of the National Women's Soccer League club Angel City until it was sold for £192.3m last year. He continues to be on their board and, at one stage, represented them on the NWSL's board of governors.

When announcing his investment in the Women's Super League side, Chelsea alluded to their reasoning behind the initial deal in their statement. "Last year, Chelsea Women repositioned ourself within the club to provide the opportunity for investment specifically to support women's football. Alexis' investment provides further validation of this strategy."