Chelsea chairman Todd Boehly and director Mark Walter have sold their stakes in the Premier League side to majority owner Clearlake Capital, which has assumed full control, the club announced on Wednesday.
American billionaires Boehly and Walter were two of the investors who partnered with Clearlake to buy Chelsea from Roman Abramovich for £2.5 billion ($3.3 billion) in May 2022.
"Chelsea Football Club today announced affiliates of Clearlake Capital Group, L.P. ('Clearlake') will acquire the ownership interest of Todd Boehly," said a club statement.
"As part of the transition, Clearlake will also acquire Mark Walter's ownership interest and therefore acquire full control of the Club," it added.
Prior to Wednesday night's announcement, private equity company Clearlake held 62 per cent of Chelsea, with Boehly and Walter holding the remaining shares with fellow investor Hansjorg Wyss.
Wyss "will remain an important stakeholder and partner in the ownership group," said the club statement.
No financial terms for the deal were disclosed. Boehly and Walter were reported to have valued the club at £5 billion.
The Financial Times reported that the pair were set to receive £950 million in cash, in a deal that values the club at about $5 billion including debt.
In the statement, Boehly said it had been "an honour to serve as Chairman of Chelsea Football Club."
"I have valued my partnership with Clearlake and the wider ownership group, and the collective decisions and investment we have made to support the immediate and long-term success of the Club," he said.
"I am confident that Chelsea is well positioned for continued success under Clearlake's leadership."
Chelsea finished a dismal 10th in the Premier League last season and hired Xabi Alonso as their new manager.
Boehly had reportedly been dissatisfied with the direction of Chelsea, notably regarding recruitment, managers and a potential new stadium plan.
There had been reports that Boehly and Clearlake had attempted to buy each other out of Chelsea several times over the last two years.
Boehly and Walter co-own the Los Angeles Dodgers baseball team, while Walter recently sold the Los Angeles Lakers basketball franchise for $12.5 billion.
Clearlake Capital co-founders Behdad Eghbali and Jose E. Feliciano thanked Boehly "for his time and contribution as Chairman."
"There will be no changes to the day-to-day operations, leadership or strategy at the Club," said the statement.