American billionaire and Philanthropist Mark Walter has now exited another major sports investment after Chelsea confirmed Wednesday that Clearlake Capital Group will take full control of the Premier League club. The move comes just weeks after Walter, who is also chief executive of Guggenheim Partners, sold the Los Angeles Lakers for $12.5 billion, while he remains a co-owner of the Los Angeles Dodgers.

Clearlake previously controlled 61.5% of Chelsea, while Walter, Todd Boehly and Hansjorg Wyss each held approximately 12.8%. Under the new arrangement, Clearlake affiliates are acquiring the interests held by Walter and Boehly. Wyss will remain involved as a shareholder and partner within the ownership group.

The transaction also ends Boehly's tenure as Chelsea chairman, a position he had held since the consortium purchased the club in May 2022. The group acquired Chelsea from Roman Abramovich for £2.5 billion ($3.3 billion), with a further £1.75 billion ($2.3 billion) committed to investment in the club.

Financial details of Wednesday's transaction were not officially disclosed. However, the Financial Times reported that Walter and Boehly would receive £950 million ($1.3 billion) in cash for their combined stake, with the deal valuing Chelsea at around £5 billion ($6.7 billion), including debt.

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The ownership relationship had reportedly become strained, with Boehly and Clearlake each exploring a potential buyout of the other after tensions emerged in 2024. Issues surrounding player recruitment, managerial decisions and plans involving Stamford Bridge were among the areas creating friction.

Chelsea said the change in ownership will not alter the team's daily operations, leadership or strategic direction. Clearlake plans to continue its investment in infrastructure, sporting performance and player development.

On the field, Chelsea finished 10th in the Premier League last season before appointing Xabi Alonso as manager. The club began the new campaign with two wins, one draw and one defeat and currently sits sixth in the league.

Separately, companies within Walter's business empire are being investigated by US federal prosecutors and the Securities and Exchange Commission.