Lyon relegated to Ligue 2 over financial problems
French giants Lyon have confirmed they will appeal against the "incomprehensible" decision to relegate them to Ligue 2 after failing to convince authorities they have resolved their financial difficulties.
The seven-time French champions were hit with a provisional relegation back in November after racking up massive debts, and although they have since sold a number of first-team players, French football watchdog the National Directorate of Management Control (DNCG) upheld the relegation following meetings on Tuesday, News.Az reports, citing Sky Sports.
Lyon are owned by John Textor, and the decision to relegate them comes a day after the American businessman sold his stake in Crystal Palace to New York Jets owner Woody Johnson.
It is currently unknown what impact Lyon's relegation and Johnson's purchase of Textor's shares in Palace will have on both clubs' Europa League places. Crystal Palace's participation is currently in danger because UEFA rules prevent clubs in multi-club ownership models from playing in the same European competitions.
A verdict on whether Lyon meet financial rules from the UEFA Club Financial Control Body (CFCB) is still pending and the Premier League and WSL still need to approve Johnson's sale to Textor.
Lyon have won the Ligue 1 title seven times, all coming in consecutive seasons between 2002 and 2008.
They have finished as runners-up on five occasions, most recently in 2016.
Lyon have lifted the French Cup five times. They did the league and cup double in 2008 and last won the competition in 2012.
In 2020, they reached the Champions League semi-finals for the first time since 2010 and the final four of the Europa League in 2017.
Lyon haven’t played in Ligue 2 since 1989 when they won the title.
Lyon, who finished sixth in Ligue 1 last season, said in a statement: "Olympique Lyonnais acknowledges the incomprehensible decision handed down by the DNCG this evening and confirms that it will immediately appeal.
"Over the past few months, we have worked closely with the DNCG, meeting all of its demands with equity investments in excess of the amounts requested. Thanks to equity contributions from our shareholders and the sale of Crystal Palace, our cash position has improved significantly, and we have more than sufficient resources for the 2025/26 season.
"With proven funds and sporting success that has earned us a place in European competition two years in a row, we sincerely do not understand how an administrative decision could have relegated such a major French club. We will appeal to demonstrate our ability to provide the necessary financial resources to ensure OL's continued presence in Ligue 1."
Textor told L'Equipe last week he was confident Lyon's financial position had been resolved, having said back in November there was "no chance" the club would be relegated.
After receiving the provisional relegation last year, Lyon sold the likes of Said Benrahma, Anthony Lopes and Maxence Caqueret in January, and this summer they have already sold Rayan Cherki to Manchester City in a £34m deal.
Lyon winger Malick Fofana is a Chelsea target this summer after the Blues made an enquiry for the Belgium international.
Meanwhile, Sky Sports News has reported Lyon have been interested in signing Nottingham Forest pair Matt Turner and Danilo.
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