Wrexham have been bolstered by a significant £14.3m financial injection as they aim to climb further up the football league ladder.
The League One club, which is under the ownership of Hollywood actors Ryan Reynolds and Rob McElhenney, has issued one new share in return for the substantial sum. The development was disclosed through the Companies House website, coinciding with Wrexham receiving planning permission to construct a new 5,500-capacity Kop stand at their historic Racecourse Ground.
While it remains unconfirmed if this investment will directly fund the new stand, it comes after Reynolds and McElhenney welcomed new minority investors last October. The Allyn family from New York came on board after selling their global medical device company Welch Allyn in 2015 for over $2bn.
Football finance expert Kieran Maguire, a lecturer at the University of Liverpool and host of the Price of Football podcast, believes the family could be behind the latest cash boost. He suggested that the investment is likely aimed at delivering infrastructure enhancements to meet the increasing demand for tickets for Wrexham’s home matches.
“It looks like good news and it’s a fresh investment,” Maguire said. “Presumably, it’s going to be used for infrastructure to allow the club to expand, which is what they need to do, to give people the opportunity to watch them.
“The reason why it’s one share for £14million as opposed to 14 million shares for a pound each, is that it doesn’t disturb the share ownership as such. If you had 30 per cent before, you’ve still got 30 per cent now.
“I suspect it’s the Allyn family, because it’s not really what Reynolds and McElhenney are bringing to the party. They’re bringing stardust and that works extremely well, but from more of a financial background it would make more sense if it’s from the other investors.”
Wrexham, currently sitting third in League One and eyeing their third consecutive promotion under manager Phil Parkinson, are just two points behind second-placed Wycombe. The Red Dragons are gearing up for a pivotal encounter with the Chairboys at Adams Park later this month.
Wrexham co-owners Reynolds and McElhenney have been vocal about their dreams of elevating the club into the Premier League. According to Maguire, the latest investment indicates they are laying the groundwork for long-term success.
However, he emphasised the urgency of expanding the team’s stadium capacity to capitalise on the global fanbase cultivated by the ‘Welcome to Wrexham’ documentary series and avoid missing out on significant revenue.
He said: “My view is that they’re budgeting for promotion and spending the money now to make sure that they’re as Championship ready as they can be. If you’re Championship ready, it’s a much smaller step to be Premier League ready, which clearly will be their next ambition. They do need to have a significant upgrade as far as facilities are concerned, though.
“Luton were in the Premier League last year, and it probably held them back a bit, although Bournemouth survived with crowds of 11,000 and they’re doing fantastically well. The demand to see Wrexham in the Premier League, if they’re there in two or three years time, would be absolutely huge, especially from the international fan base.
“It would be such a shame from their point of view, if you’re constrained by the fact that you’ve only got a relatively small capacity in the ground. You’d be turning business away when you’re able to charge Premier League prices and Premier League hospitality packages which will make every commercial director cry.”
Wrexham’s pursuit of League One success continues on Saturday as they host Rotherham, followed by an away game at Reading on Tuesday. Then, they gear up for a crucial promotion clash with Wycombe on March 15.
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