Ares Management is engineering a restructuring of Eagle Football, the multi-club ownership group that controls French Ligue 1 side Olympique Lyonnais, Bloomberg reports. The firm has asked lenders including MetLife to accept extended repayment timelines, though the insurer has so far resisted the proposed terms.

Ares has deployed over $400 million into Eagle Football and recently marked down its position from roughly 30 cents to 16 cents on the dollar. The New York-based firm isn't planning fresh capital injections, creating tension in negotiations. MetLife's investment is secured against the Groupama stadium and its revenues, with €320 million ($372 million) in notes carrying a 5.8% coupon maturing in 2044.

Lyon must resolve its financing position by next month or face renewed threats from French regulator DNCG, which previously pushed for relegation. Ares argues that dropping to the second tier would materially impact hospitality demand and matchday revenues at the stadium. The club was provisionally relegated last year before an equity injection reversed the decision following John Textor's departure.

This restructuring represents a test case for private credit in European football, where complex capital structures intersect with regulatory oversight. Ares has already exited positions in McLaren and Atletico Madrid, demonstrating its broader strategy of building and monetizing sports investments amid volatile market conditions.