Arsenal’s Tim Lewis, the power behind the Kroenkes’ throne

When Mikel Arteta signed his new contract as Arsenal manager last week, he was accompanied in the publicity photographs by the club’s technical director Edu and chief executive Vinai Venkatesham. But there is another man, someone instrumental in the striking of that deal, who remained conspicuous by his absence: board member Tim Lewis.

In the months leading up to Friday’s announcement, Lewis was a key figure in the dialogue surrounding the nature and terms of the contract.

Since joining the board in the summer of 2020, Lewis has forged a strong relationship with Arteta and is a periodic visitor to the Spaniard’s office at the club’s London Colney training ground. He has a professional relationship with the Kroenke family, Arsenal’s owners, that extends back over 15 years, so is uniquely positioned as a central fulcrum between some of the most powerful figures at the club.

And yet, to most Arsenal fans, Lewis remains something of a mystery.

It is striking, for example, that such an influential person does not even have a Wikipedia page.

A corporate lawyer by trade, specialising in mergers and acquisitions (M&A), Lewis was appointed to the board to help conduct a financial review in the wake of the coronavirus crisis. Since then, his role has naturally extended into other areas of the north London institution.

Left to right: Tim Lewis, Josh Kroenke and Vinai Venkatesham in the directors’ box before Arsenal’s win over Brighton last May (Photo: David Price/Arsenal FC via Getty Images)

Lewis has a longstanding association with the club and comes from a family of Arsenal supporters. His detractors in the game dismiss him simply as “the lawyer” or “the fan”, but within the walls of Highbury House, the club’s head office, he is regarded as scrupulous, judicious — and, when required, ruthless.

Some close to the club even speculate that Lewis could be Arsenal’s next chairman.

As a teenager, Lewis’ father took him to meet some staff at BP, who told the young Tim that the fuel industry giant’s chief executive officer was qualified as both an accountant and a lawyer. Lewis noted this, and was determined to pursue the law — later quipping that mathematics was something “requiring hard graft”.

After graduating from Oxford University in 1984, Lewis attended the College of Law before embarking on a career as a corporate lawyer.

Since 2010, he has been a partner at London-based international law firm, Clifford Chance, and has worked on several high-profile, high-value deals.

He advised French drinks company Pernod Ricard on their acquisitions of Seagram, Allied Domecq and the V&S (Absolut) group, and worked with engineering group GKN on their £633 million acquisition of the aero-engine division of AB Volvo. Lewis also advised Royal Dutch Shell on its bid for Africa-focused Cove Energy and worked alongside a consortium to take Merlin Entertainments —  the theme park operator which runs the Legoland attractions, Madame Tussauds and the London Eye — private, for around £5.9 billion, in 2019. It was, at the time, one of the biggest European private equity deals in years.

Perhaps most notably, between 2007 and 2018, Lewis advised Stan Kroenke and KSE (Kroenke Sports & Entertainment) on their investment in Arsenal. He was involved when Kroenke purchased an initial 9.9 per cent stake from ITV plc in 2007, and in the next few years when Kroenke acquired shares from Danny Fiszman, the Carr family, and several minority shareholders, taking his stake to 29.9 per cent.

In April 2011, Kroenke became Arsenal’s majority shareholder by purchasing Fiszman’s remaining shares (16.1 per cent) shortly before he passed away. He also bought out Lady Nina Bracewell-Smith’s stake (15.9 per cent), and those of several other Arsenal directors.

Speaking to The Times that month, Lewis explained that the most taxing aspect of the takeover was the necessity of discretion. “Confidentiality is a challenge in any mergers and acquisitions project,” he said. “The club is so newsworthy, however, that that challenge was taken to a new level. We needed to operate with a very small number of people involved.” This is a man the Kroenkes had come to trust implicitly.

Asked whether he considered Kroenke’s acquisition a good thing for the club, Lewis was emphatic. “My family are all regulars at Emirates,” he said. “My view? Danny Fiszman, a lifelong, knowledgeable and passionate fan, sold to Stan Kroenke; that says it all.”

Kroenke’s purchases took his total shareholding to 66.6 per cent, with the vast majority of remaining shares held by Alisher Usmanov. Lewis became a key figure in the row which played out between KSE and Usmanov’s Red and White Holdings; when the Russian brought a complaint to the takeover panel, Lewis represented KSE in the case.

In 2018, Usmanov finally agreed to sell his stake. Once again, Lewis, working alongside fellow Clifford Chance M&A partner Katherine Moir, was integral to the deal.

An 11-year project had concluded, with Kroenke’s offer document stating that the proposed deal would “result in the opening of a new chapter in the history of the club in bringing 100 per cent private ownership”, which in turn would “bring the benefits of a single owner better able to move quickly in furtherance of the club’s strategy and ambitions”. Much of that takeover documentation, The Athletic understands, was overseen by Lewis.

After working closely on the Arsenal acquisition for more than a decade, Lewis was a trusted adviser to the Kroenke family. He had a direct line to Stan, the father, and would spend time on the phone discussing share transfers. Their relationship was professional rather than personal, but it was clear he was part of a close circle.

Stan Kroenke at the Emirates in October 2011 (Photo: Stuart MacFarlane/Arsenal FC via Getty Images)

Over time, Lewis’ responsibilities extended beyond the acquisition.

He had become very familiar with Arsenal’s corporate make-up and had a thorough understanding of the complex financial arrangements that were part of being a public company with multiple shareholders. Before Kroenke secured 100 per cent ownership, Lewis explored possible ways to unlock financing. He was also involved in the preparation of the annual general meetings, writing scripts and advising the top table on what they could and couldn’t say.

Through that, he became familiar with Arsenal’s board members. He occasionally appeared in the directors’ box at games, as a guest of the Kroenkes. Despite being a fan of the club, those who encountered him don’t remember him behaving as an archetypal supporter — he remained professional in his manner.

“He was a hard-nosed corporate lawyer advising Stan,” recalls someone who made his acquaintance. “Stan clearly trusted him, and still does. He was capable, as a lawyer, of giving Stan some difficult messages at times, while remaining calm, measured and very straight — acting as a good lawyer should.”

It should not be a great surprise, then, that with Arsenal reeling from the financial implications of the pandemic, the Kroenkes turned to Lewis to help steer them through an economically perilous period. He was appointed as a non-executive director to both Arsenal Holdings Ltd and Arsenal Football Club PLC on July 1, 2020, and immediately set about an audit to reduce inefficiency and improve the financial health of the business.

There is a clear distinction here from Lewis’ prior involvement.

Previously, he had been working for Clifford Chance, representing KSE, and his remit was restricted to legal matters and corporate affairs. In his role as a non-executive director, he works for Arsenal directly, overseeing the full breadth of the club.

There is an associated cost for that: Arsenal’s latest financial results noted that the remuneration for directors more than doubled from £529,000 to £1.1 million. These higher fees reflected the increased involvement of board members Lord Harris and, particularly, Lewis in the running of the club. As the report puts it: “Included in the above amounts are fees paid to Harris Ventures Limited in respect of services provided by Lord Harris of Peckham and fees paid to Clifford Chance LLP in respect of services provided by TJ Lewis.”

Lewis’ impact was felt almost immediately. A notice posted to the London Stock Exchange one week after his appointment revealed that Arsenal would be restructuring their remaining stadium debt of £144 million by way of a substantial loan from KSE. This freed Arsenal up from their need to keep back £36 million in a bondholders’ debt service reserve, and dramatically improved cash flow at the club.

A month later, on August 5, Arsenal announced their intention to make 55 staff redundant as a consequence of the pandemic.

The highest-profile scalp followed just under a fortnight later, when head of football Raul Sanllehi left the club.

Sanllehi’s management style and approach to the transfer market had not endeared him to everyone at Highbury House, but the biggest factor in his departure was that Lewis and the board felt his role to be superfluous: with Venkatesham in place as managing director, and Edu as technical director, Sanllehi was deemed inessential.

In their financial position, Arsenal did not need to operate with twin chief executives, or indeed twin sporting directors.

Left to right: Venkatesham, Josh Kroenke, Edu and Sanllehi during a pre-season training session in Los Angeles in 2019 (Photo: Stuart MacFarlane/Arsenal FC via Getty Images)

Throughout the cost-cutting process, Lewis was stoic.

“He is exactly what you’d imagine a corporate City lawyer to be,” says one former Arsenal staff member. “His manner is very professional, rigorous, and intelligent. He might not be someone who feels the angst the staff are going through, but maybe that’s what’s needed.”

It has been a testing period for Arsenal — one that has dented the morale of staff, as is to be expected in any company undergoing redundancies. They have recently enlisted the help of consultancy firm People-Made to embark upon what sources call a “top-to-bottom cultural review of the club”. There is hope now that the club have turned the corner, and the worst is behind them.

The board now consists of Lewis, Stan Kroenke, his 41-year-old son Josh, and Lord Harris.

At 79, Lord Harris is typically characterised as part of the ‘old school’ — but over the last 12 months, the former chairman of UK-chain Carpetright chain has taken a more pronounced role in overseeing corporate aspects of the business, as well as staff culture.

Lewis’ influence, meanwhile, continues to grow.

With Josh Kroenke also a semi-regular presence in north London, board members arguably have a more proactive and participatory role now than they have for some time.

One of Lewis’ responsibilities is representing the club at the Arsenal Advisory Board meetings, where fan representatives engage directly with board members and executives on key strategic issues. In these meetings, the extent of his involvement in club affairs becomes clear.

“If you ask about shares being made available to Arsenal fans again, you get Tim Lewis answering,” says Tim Payton of the Arsenal Supporters’ Trust. “If you ask about the loans from KSE or Barclays or Deutsche, Tim Lewis answers. If you ask about key votes in the Premier League, Tim Lewis answers.”

Questions directed at Josh Kroenke will see Lewis step in. This is arguably what you’d expect from a board member with his expertise, but it’s indicative of his influence.

Lewis was hired to focus on legal matters and issues related to the takeover, but his responsibilities now extend far beyond that. As a board member, any significant expenditure will go through him. If Arsenal want to sign a new centre-half this summer, for example, Lewis and others will need to give their approval.

He and Arteta have a good personal relationship, and the lawyer is understood to be a strong advocate for the club’s manager of the past two and a half seasons. Some have suggested it’s a case of a long-time supporter of the club being swept up by former Arsenal captain Arteta’s charisma, but that seems at odds with Lewis’ cerebral demeanour.

Direct dialogue between the manager and the board would appear healthy and thus far has resulted in significant expenditure in the transfer market.

Edu, director of football operations Richard Garlick and Venkatesham behind Arteta as he signs a new contract last week (Photo: Stuart MacFarlane/Arsenal FC via Getty Images)

Some attest that Lewis now “runs Arsenal”. It’s easy to see how they might arrive at that conclusion: his proximity to the Kroenkes, and indeed Arteta, make him a pivotal figure at the club. Not everyone has direct access to those three individuals. Arsenal say, however, that the truth is more complex, and more collaborative — Venkatesham leads a team of executives as CEO, operating beneath that four-strong board.

The make-up of that board is the subject of some debate.

Arsenal are represented at that level by four white males, half of them comfortably into their 70s (Stan Kroenke turns 75 in July).

There has been a process of rejuvenation at Arsenal, on the pitch and in the stands, where the age of the match-going fan has come down this season. Arsenal are proud of their diversity — it would be a positive step to see that diversity reflected in the boardroom.

Lewis, however, will likely be a fixture for some time to come. His involvement at the club would appear to be a good thing — Arsenal’s agitators have long called for more board oversight, and he appears to be providing it. An engaged, active board is vital — and there is clearly nothing ‘ceremonial’ about the function of the current quartet. The question, of course, will be whether Lewis is there to further Arsenal’s agenda, or that of the Kroenkes — and whether that is quite the same thing.

Could he one day assume the role of chairman?

The post has been vacant since Sir Chips Keswick stepped down two years ago this month.

At the time, Arsenal’s position was that, as a private company, they did not need a new one. Under company legislation, they are only obliged to nominate a single director. With the club now fully under the control of the Kroenkes, the chairman position was deemed obsolete.

Attitudes towards that seem to be softening, though, and it’s not inconceivable that Lewis could inherit the post.

Arsenal have already shown a willingness to reinstate former titles if an individual shows merit. In December 2019, they appointed Arteta initially as a head coach, before rebranding him as the manager at the start of the 2020-21 season. Perhaps Lewis’ work as a board member will convince the US-based Kroenkes to install him as chair — a permanent figurehead on the ground in London.

Regardless of job title, Lewis’ influence in the reshaping of the club will continue.

It seems this little-known lawyer may be the power behind the Kroenkes’ Arsenal throne.

(Top photos: Getty Images; design: Sam Richardson)