Torbay law firm scores in Reading FC takeover deal

Award-winning Torbay law firm Kitson Boyce has secured a notable win in extra time in the takeover of a leading professional football club.

They have been acting for clients Rob Couhig and Todd Trosclair in the deal for Sky Bet League One English Football League club Reading.

The takeover, which was originally due to take place last summer, was finally completed just a couple of weeks ago following months of negotiations, a successful defence of an injunctive attempt, the forced revelation that the seller had been disqualified from ownership by the EFL, consulting with counsel in multiple international jurisdictions, and completing the sale within a short time from when the parties achieved agreement..

The legal transaction sees Rob Couhig and Todd Trosclair, the shareholders of Dogwood Football LLC which in turn owns a wholly owned subsidiary in the UK, Redwood Holdings 1 Ltd, acquire all the shares in The Reading Football Club Limited from Renhe Sport Management Co Limited.

Above: Reading’s Select Car Leasing Stadium

Separately, Redwood Stadium Limited (a BVI entity) will acquire the Stadium from Prestige Fortune Asia Limited (a BVI entity). Redwood Stadium Limited is a wholly owned subsidiary of Dogwood Football LLC.

Corporate partners Cris Boyce and Steve Hanbury along with head of commercial property Cheryl Baxter advised on the deal with support from head of dispute resolution Andrew Pay and a team of skilled legal experts in football ownership transactions from across the firm.

Cris Boyce said: “Football club deals are rarely straightforward and this one was certainly no exception. 

“Parties to the transaction were based in the UK, US, Hong Kong, Singapore, Thailand and the British Virgin Islands, so we had some challenges dealing with different time zones and a significant number of advisors based in different jurisdictions. 

“Ultimately, we are delighted to have secured the club, stadium and training ground for our clients. This process involved the courts, to get the deal back on track and over the line. 

“The most important thing is that Reading FC is now under new ownership and in safe hands with a much brighter future.”

Rob Couhig, co-owner of Reading FC, said: “I first met Cris and his team when I lent money to the Yeovil Football Club. He protected my interest then and has guarded it since. 

“He led the effort when I bought and sold my interest in Wycombe. I stated after that sale that I would want to use Cris if I ever bought another team in England. This experience has justified my commitment to him. 

“Going forward, whether it’s football or any other commercial interest in the UK, I know my first call will be to Cris and I know that he and his team will work with me to produce the desired result.” 

The takeover of Reading FC continues Kitson Boyce’s relationship with Couhig, whom they advised on the purchase and subsequent sale of the Buckinghamshire-based EFL club Wycombe Wanderers. 

Cris Boyce and his team have advised on previous deals involving both EFL and National League clubs and are currently advising investors on future acquisitions.

 Reading Football Club was formed in late 1871 by a group of young townsmen, most notably Joseph Edward Sydenham who met with his co-founders to form the club at the Bridge Street Rooms. The club’s first match was played two months later, on 21 February 1872, when Reading played out a 0-0 draw against Reading School at the Reading Recreation Ground.

The club slowly grew in strength and in 1878 moved to an enclosed ground (Reading Cricket Ground). With two internationals in defence (Wales’s John Morgan and Edgar Field of England) Reading won its first trophy, the Berks & Bucks Senior Cup, in March 1879.

In 1925-26 Reading won the Championship of Division Three (South). Reading FC's highest league position was 8th in the 2006-07 Premier League season. They also set a record for the most points in a professional league season during their 2005-06 Football League Championship season, with 106 points.