Lyon Kicked Out of Ligue 1: Debt-Ridden Champions Face Downfall
Former titlist necessitates compulsory removal
Get ready, soccer fans, France's football scene is about to see a major shakeup! Olympique Lyon, the once-unstoppable titan of Ligue 1, has been dealt a devastating blow - a forced demotion to Ligue 2 due to their colossal debt. You heard it right - the club that nabbed a spot in the Europa League is getting kicked out!
On Tuesday, the French football financial watchdog, DNCG (Direction Nationale du Contrôle de Gestion), made it officially clear - Lyon won't be sticking around in Ligue 1 this season.
You might recall American John Textor, Lyon's owner who's also the sole proprietor of holding company Eagle Football, with stakes in other professional clubs too. Well, he's been trying to sort out this mess for the past seven months. You could say he was quite the optimist before the hearing, assuring everyone about the financial solidity. But alas, he wasn't able to sway the controllers with his relaxed attitude or his plans.
So, what's the real issue? This all began when Lyon's debts shot up to a whopping 500 million euros back in November 2024. Apparently, the DNCG suspended their demotion back then, hoping to give the club more time to get its finances in order. But alas, the club hasn't been able to make the necessary improvements.
Textor attempted unconventional measures to cover the debts, like transferring funds from his other club, Botafogo. However, the DNCG turned a deaf ear to that plan. Even when Lyon got a financial boost through the sale of Rayan Cherki to Manchester City for 40 million euros earlier in 2025, it wasn't enough.
As a result, Lyon faces the grim reality of being dropped from Ligue 1. But don't think they're giving up that easily! The club has already announced plans to appeal the decision. In their statement, they claimed that their capital was sufficient and their sporting success proved their worth. Only time will tell if Lyon will manage to turn this crisis around.
If the club's demotion is indeed finalized, Stade Reims would be the fortunate recipients, as they lost the relegation playoff battle against FC Metz.
This forced demotion of Lyon marks the second such instance for a French football heavyweight in the last two years. Last year, Girondins Bordeaux, champions back in 2009, sank to the third league, and later even closed down their youth academy and professional career after 87 years. They're now struggling in the fourth league.
Sources: ntv.de, ara/dpa/sid[1][2][3][4][5]
And to all those doubters out there, let me remind you - nothing is impossible in the world of soccer! Let's hope Lyon can pull off the impossible and bounce back stronger than ever!
- Soccer enthusiasts, unite!
Insights:
John Textor, the club's American owner, has been at the center of criticism for poor financial management and planning, leading to Lyon's current dire state. The club still has substantial and unresolved debts, with their relegation representing a major structural crisis for a football giant[2][3].
[1]: Represents a source for the information regarding the relegation of Olympique Lyon.[2]: Denotes debate around the financial instability of Olympique Lyon under John Textor's ownership.[3]: Illustrates criticism directed toward John Textor due to his club's relegation and unprecedented financial difficulties.[4]: Refers to sources documenting the financial situation, poor planning, and management under John Textor’s ownership.[5]: Clarifies the relegation as a major institutional crisis for the club.
Community policy discusses the potential consequences for Lyon, as their relegation from Ligue 1 might necessitate a review of their employment policy due to the possible mass layoffs.
The appeal from Lyon, fighting against their relegation, could lead to changes in European leagues as they attempt to be reinstated, showcasing the uncertainty and dynamic nature of sports like football.