Wolves owners eye IPO with search for new investors

The owners of Wolverhampton Wanderers are reportedly considering selling a stake in the club with the aim of using the deal to test the prospects of an eventual IPO.

The Financial Times says that Fosun International is looking for fresh investment into the Premier League club, with chairman Jeff Shi admitting: “It’s more to test the market, to see the value of Wolves.”

Fosun bought Wolves for £45m in 2016 and is thought to want to sell a 20% stake for anywhere between £50m and £100m, in a deal which would value the club at approximately £350m. Shi reportedly wants an investor from outside of China, where the club is currently enjoying considerable commercial success.

He added: “It’s more about getting the right partner with strategic connections. We are not just trying to sell the shares to anybody, we are very picky. We are doing it slowly.”

Shi is denying the sale of the Wolves stake is to mitigate against losses from Fosun’s stake in the collapsed Thomas Cook.

Meanwhile, Shi said Fosun will be reducing its investment in the team. He told The Financial Times: ““When we won the Championship, Wolves was not strong enough to be independent and we could only depend on our parent group. But now we are much stronger. Now is not the time to always get funding from Fosun.”

Wolves currently sit 12th in the Premier League.