Lyon Relegated Over Finances as Michele Kang Replaces Textor at Helm

French football’s financial watchdog, the Direction nationale du contrôle et de gestion, confirmed on 24 June that seven-time champions Olympique Lyonnais will be relegated to Ligue 2 after an audit found the club’s finances to be insufficient. The ruling follows a provisional demotion imposed last November and comes despite Lyon finishing sixth in Ligue 1 and securing Europa League qualification. Eagle Football Group, the club’s parent company, previously revealed debts of roughly £422 million.

Lyon branded the ruling “incomprehensible” and said it would lodge an immediate appeal. Owner John Textor argued that recent cash injections—including proceeds from the sale of a 43 % stake in Crystal Palace—and planned player sales had stabilised liquidity for the 2025-26 season. Should the sanction be upheld, Stade de Reims would reclaim a place in the top flight.

Amid the turmoil, the club announced on 30 June that Textor had resigned all executive roles. American businesswoman Michele Kang, already a board member and head of OL’s women’s team, was named president of Olympique Lyonnais and chair-chief executive of Eagle Football Group, with Michael Gerlinger promoted to director general. Kang said she would steer the appeal and oversee a restructuring that is expected to include significant cost cutting and new capital injections.

The leadership overhaul makes Kang one of the few women to run a major European men’s club. Lyon’s appeal will be heard in the coming weeks; until a final verdict is delivered, the club’s sporting future—and a sizeable share of French football’s commercial landscape—remains in limbo.