Brazilian giants Botafogo have issued a stunning €64.6 million (R$410.2 million) claim against French side Lyon, accusing the Ligue 1 club of forcing them to sell players at "fire-sale prices" during its 2024 financial crisis.
Group Bailout Gone Sour: Fire-Sale Transfers & Hidden Debts
Lyon faced a transfer ban and relegation threat from France's DNCG (National Management Control Department) in November 2024. To save their sister club under the Eagle Football Group umbrella, Botafogo agreed to offload key assets at heavily discounted rates: Igor Jesus (€43M), Jair Cuenca (€20.9M), and Savarino (€7.6M), while waiving invoices for Thiago Almada's loan deal. These "concessions" collectively cost Botafogo €64.6M in lost revenue.
Almada Transfer Exacerbates Tensions
The dispute escalated after Botafogo pocketed the full €21M fee from Almada's move to Atletico Madrid in July 2025 – a windfall Lyon would've shared under the previous group structure. With former chairman John Textor ousted from Lyon, the Eagle Group's financial pooling system collapsed, leaving Botafogo to claim sole ownership of all transfer proceeds.
Lyon's Double Jeopardy: Relegation & Cash Crunch
Lyon's precarious position deepened when the DNCG relegated them to Ligue 2 in June 2025 over financial irregularities, though the club has appealed. Star players like Lacazette and Tolisso are now angling for exits, further straining Lyon's cash flow. Botafogo has warned of "corporate measures" including legal action or asset freezes if repayment is delayed.
Textor's Empire Unravels: A Multiclub Model Meltdown
The crisis highlights the pitfalls of John Textor's transatlantic football empire. With Botafogo now operating independently post-Textor, the Brazilian club insists on "rectifying financial imbalances" through legal channels. The saga also draws parallels to FIFA's recent sanctions against Botafogo for unpaid transfer fees related to Almada's 2024 move, underscoring the high stakes for both clubs.
