Wrexham sell minority club stake to Allyn family

Wrexham have gained back-to-back promotions under current boss Phil Parkinson

Wrexham have sold a minority club stake to the Allyn family, who owned global medical device company Welch Allyn for more than a century.

The Allyn family of Skaneateles, New York sold the company in 2015 and now focus on "purpose-driven investments in private and public markets".

They will join Hollywood duo Ryan Reynolds and Rob McElhenney, who officially became majority owners of the club in February 2021, in owning a stake in the north Wales side.

In a joint statement, Wrexham co-chairmen McElhenney and Reynolds said: "Wrexham has earned the world’s attention and we are focused on bringing on board world-class partners to help with the next phase of our growth.

"We have been fortunate to get to know the Allyn family and we are blown away by their intelligence, kindness and commitment.

"They are exactly the type of partners we will need for this amazing endeavour."

League One side Wrexham say the investment, made through Red Dragon Ventures LLC, "will help fuel the club’s lofty ambitions, as well as those of the broader Wrexham community".

Eric Allyn, manager and chief investment officer of the Allyn’s family office, said: "For more than a century, our family has focused on building great companies, while also uplifting wonderful communities.

"Our decades-long efforts in the Syracuse region are similar to what Rob and Ryan have started in Wrexham.

"We view Red Dragon Ventures as a vehicle to invest in a world-class football club, and, importantly, in the welcoming community of Wrexham."

Manager Phil Parkinson has guided the Red Dragons from the National League to League One under the ownership of Reynolds and McElhenney.

Wrexham currently sit third in League One having collected 25 points from their opening 13 matches of the campaign.

Analysis from football finance expert

Kieran Maguire on BBC Radio Wales

I think it’s a very smart move by Reynolds and McElhenney.

They realise that Wrexham are surfing a wave, they are one of the most popular English/Welsh teams in the United States. The television show has been an incredible success and on the back of that they have managed to attract global sponsors.

The price that they will have managed to achieve for this minority stake will be significant and on the back of that, the current owners have got a good deal, there’s further money coming into the club and that can be reinvested and recycled.

I think the challenge for Wrexham will be in the Championship [should they get there] because the average losses there are £400,000 a week.

All of a sudden you are up against Sunderland, Derby County, Sheffield Wednesday, Leeds United – clubs that can generate a crowd of 30,000-45,000 very easily and that sets a new benchmark.

Wrexham have got an awful lot of goodwill behind them and what they have got to do in the Championship – if they get there – is to be smarter, because you can’t be bigger compared to the clubs that have come down from the Premier League.

If we take a look at Manchester City for example, which are the wealthiest football club as far as UK football is concerned, they sold off 15% to American investors who felt they were getting good value and the owners were getting good value in terms of the deal as well.

Sometimes you don’t want to take on all of the risk or all of the responsibility for running a football club, it’s a precarious and expensive business, so to get another party involved, especially if they’ve got deep pockets, can be beneficial.