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Takeover Troubles
The much-discussed acquisition of Premier League club Everton by American investment group 777 Partners is nearing a breakdown. After a series of financial setbacks, the deal, which has been in the pipeline for months, is facing significant challenges. The Miami-based consortium’s financial complications have cast doubt on their ability to take control of the historic football club.
Financial Hurdles Hit Hard
777 Partners’ path to ownership has been marred by monetary mishaps. The group is in debt to MSP Sports Capital, a sports private equity firm, to the tune of £158 million, a loan that was intended to cover Everton’s operational costs. Additionally, the investors are scrambling to secure approximately £100 million required to finish Everton’s new stadium at Bramley Moore Dock, a project crucial to the club’s future.
Airline Woes and Takeover Tensions
Compounding the financial strain, Bonza Airlines, a venture part-owned by 777’s Josh Wander, has gone into administration. This development raises further doubts about the group’s financial stability and capacity to complete the Everton takeover. In a bid to navigate their financial predicaments, 777 has entered discussions with GDA Luma Capital, a firm adept at handling complex financial challenges, to explore solutions for the club’s debt.
Seven-Month Stalemate
Since agreeing to purchase Farhad Moshiri’s 94.1% stake in Everton in September, 777’s takeover bid has been stalled. The group has yet to clear the Premier League’s fit and proper ownership test, an essential hurdle to gain approval for the takeover. Everton’s own financial obligations are daunting, with around £400 million owed to third parties, largely due to the costs associated with their new stadium development.
Concerns Over Club’s Future
Insiders express growing concern over 777’s suitability as owners amidst the current instability. The worst-case scenario for Everton could involve administration, a fate that would carry a severe nine-point deduction. However, the club’s former chief, Keith Wyness, has indicated that there is no immediate threat of administration for the Toffees.
On the Pitch: Everton’s Battle for Safety
Despite off-field turmoil, Everton secured their Premier League status with a recent 1-0 victory over Brentford. The team is set to continue their campaign against Luton Town at Kenilworth Road, with fans hoping for a strong finish to a tumultuous season.
In Other Everton News
Amidst the uncertainty of the takeover, Everton’s focus on the pitch remains, with manager Sean Dyche reportedly eyeing priority signings for the summer transfer window.
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