Wrexham Value: Examining the £100m Valuation Hype vs Reality
- House writer
- Mar 10
- 2 min read
Recent reports suggest Wrexham AFC is now valued at over £100 million, driven by a 15% stake sale to the Allyn family at a valuation 50 times higher than when Ryan Reynolds and Rob McElhenney first acquired the club. But does that figure hold up?
Revenue Growth: A Positive But Not the Full Story
It’s expected that Wrexham’s 2024 financials will show revenues surpassing £20 million, more than double the £10.5m turnover in 2023. On the surface, this sounds like a strong justification for a higher valuation.
However, valuing Wrexham at 5x revenue (the same multiple as Chelsea’s 2022 sale at £2.5bn) is completely unrealistic when you factor in:
Sizeable losses – Wrexham posted a £5.1m loss in 2023, up from £2.9m in 2022. This affects any revenue-based multiplier.
Squad costs rising in the Championship – If promoted, Wrexham will face significantly higher wages and operating expenses.
No parachute payments – Unlike recently relegated Championship clubs, Wrexham won’t have Premier League-level financial buffers.
A more reasonable revenue-based valuation multiple would be 1-2x revenue - which would put Wrexham in the £20m-£50m range, not £100m.
What About the Stadium Expansion?
The planned 5,500-seat expansion is an important factor for long-term growth, but infrastructure projects don’t immediately translate into valuation jumps. Clubs with larger stadiums still struggle financially, especially if they can’t fill them (see Derby County and Sheffield Wednesday).
Wrexham’s stadium plans are positive for future revenue growth, but the financial uplift is gradual, not an instant boost to club valuation.
What Happens If Wrexham Don’t Get Promoted?
The valuation hype assumes Wrexham reaches the Championship. If they don’t, that financial boost disappears. The risks include:
More competition for promotion next season – Bigger clubs may enter League One, making the path to the Championship tougher.
More losses – Another season in League One means more player wages, infrastructure costs, and investment without the Championship’s higher revenue streams.
If Wrexham fail to secure promotion this season, their valuation could stagnate or even drop.
Final Verdict: A £100m Valuation Feels Like Overreach
While Wrexham’s growth story is exciting, the £100m valuation appears heavily inflated. A more realistic range is £20m-£50m, with £50m being optimistic but justifiable given:
✅ Revenue growth to £20m+
✅ Strong commercial appeal & global brand
✅ Long-term stadium expansion
However, 5x revenue multiples (like Chelsea) don’t apply to a club making annual losses, without top-tier football, parachute payments, or global broadcasting deals.
The real risk? If Wrexham aren't promoted, there’s no immediate uplift, and the club’s valuation could be significantly lower than what’s being suggested today.
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