Fosun admit they are 'very active in Middle East' as Wolves part-takeover talks advance

After two summers of cutbacks, Wolves supporters have understandably questioned the commitment of their owners, Fosun. But the Chinese investment group have clarified their position in recent times.

Wolves chairman Jeff Shi, who serves as Fosun’s primary representative at Molineux, has said that the owners are here to stay but are seeking minority investment in the club.

Reports have suggested that Fosun could sell approximately 10 per cent of Wolves for £75m.

It is a difficult market at present, with stubbornly high interest rates and the saturation in the Premier League with rival clubs also courting minority investment prospects not making for ideal sale conditions.

But if and when Fosun do find a potential buyer, they say they plan to reinvest that capital in their esports and sportswear ventures.

Significantly, Wolves would likely play a role in both of those projects given that the owners have scaled up their esports team and established sportswear brand Sudu with Wolves as their flagship partner.

A tough start to the Premier League in 2024-25 under manager Gary O’Neil has not exactly been the best advert for potential investors.

But Wolves are regarded as a relatively attractive asset all the same, and the latest statement from Fosun perhaps signals where they might look next in their search or a buyer.

• READ MORE: Wolves have Sir Alex Ferguson 2.0 on shortlist in case Gary O’Neil fails to spark improvement

Fosun targeting Middle East market in business masterplan

Fosun International are a huge multinational whose revenue exceeded £20bn in the last financial year.

Fosun recently announced a £677m private loan from a consortium of 25 different Chinese banks and international institutions was one of the largest loan agreements in the country so far this annuum.

But Chinese investment specifically in sport, which is dictated heavily by the communist government policy, has declined in recent years.

However, many analysts now believe that it may be on the rise again, albeit likely through merchandise and other associated markets as opposed to mergers and acquisitions.

And in a new press release focusing on their increasing activity in the Middle East, Fosun have outlined their continued commitment to sport, namechecking Wolves in the process.

“Fosun has been very active in the Middle East region,” an excerpt of the statement reads.

“Under the guidance of Saudi Arabia’s “Vision 2030”, the country is quickly becoming a hub for sports, especially esports.

“At the recent Esports World Cup held in Riyadh, Fosun Sports’ Wolves Esports Club won two championships in “Teamfight Tactics” and “Honor of Kings.”

“With Saudi Arabia’s continued investment in esports and Fosun Sports’ excellent performance in both football and esports, further collaboration between the two sides is expected.”

• READ MORE: Official document reveals Wolves’ role in Man City’s APT legal battle with the Premier League

Who else could invest in Wolves?

In a recent interview, Jeff Shi made the somewhat outlandish claim that Wolves are the fourth most followed team in China in terms of social media reach.

And while the chairman may have been slightly liberal with the facts on that occasion, Wolves are an established Premier League team and do have a foothold in the global market in terms of their ‘brand’.

That is very attractive to investors who believe that the next new frontier of revenue generation for Premier League clubs is in monetising their overseas fanbases.

A wave of US private equity investors believe that clubs such as Wolves are undervalued as a result and therefore believe they are top-drawer capital appreciation projects.

There could be a natural candidate in one of the groups or individuals that have failed to buy Everton, with Dan Friedkin set to take over and oversee the transition to Bramley Moore Dock.

And while Wolves represent a different investment prospect as only a minority of their equity is for sale, it would not be a surprise to see one pile their chips on the Molineux club in the near future.