Skip to main content

Everton's takeover imminent

Everton’s long-running ownership saga will end next week when the Friedkin Group’s takeover will be finalised.

The US-based group will secure approval from the Premier League to take over the cash-strapped Merseyside club, which will raise questions over the futures of the manager, Sean Dyche, and sporting director, Kevin Thelwell, who are both out of contract at the end of the season.

The Friedkin Group agreed to purchase Farhad Moshiri’s 94.1 per cent shareholding in September and the deal has been subject to the Premier League’s owners’ and directors’ test for the past three months. That process is understood to be near completion.

The group, which also owns the Italian club Roma and is led by the American billionaire Dan Friedkin, was close to agreeing a deal to buy Everton last summer, only to announce it had pulled out because of concerns over loans that the club had taken up with other investors.   More on their stewardship of AS Roma here: https://footballeconomyv2.blogspot.com/2024/12/unhappiness-at-roma-despite-big.html

However, it returned to the negotiating table and struck the deal with Blue Heaven Holdings — run by Moshiri — and is now on the brink of passing regulatory approval from the Premier League.

A valuation of the takeover is complicated. Forbes valued Everton at £597million in 2023, but the Covid-19 pandemic and the spiralling costs of building a new stadium have hit the club hard.

The Friedkin Group has already ­invested in excess of £200 million, to help with the costs of completing the new ground at Bramley-Moore Dock in addition to paying off a £140million loan to MSP Sports Capital and another loan to 777.

Friedkin himself has an estimated worth of £4.8billion. His Friedkin Group comprises automotive, hospitality, entertainment, sports and adventure companies.

Since the group took control of Roma in 2020, the club have won the Conference League, in 2022, and were runners-up in the Europa League the following season under the management of José Mourinho, who was sacked midway through last season.

With Everton moving into their new stadium on the banks of the Mersey next summer, their long-suffering supporters will hope the takeover points to a brighter future after years of financial struggles off the pitch and relegation fights on it.

Moshiri, it is understood, will receive some of his investment back, but the total amount will depend on Everton’s future success.

The move will end his often controversial eight-year reign. Moshiri, 69, has spent more than £600million on players and appointed seven managers: Ronald Koeman, Sam Allardyce, Marco Silva, Carlo Ancelotti, Rafa Benítez, Frank Lampard and Dyche.

But the takeover will also bring doubts over the futures of Dyche and sporting director Thelwell, as well as a number of players who are out of contract in the summer.

 

Labels:

Comments

Post a Comment

Popular posts from this blog

Threat of financial calamity removed from Baggies

West Bromwich Albion had effectively been in decline ever since the club was sold to a Chinese consortium in August 2016, paying a figure north of £200m to buy former owner Jeremy Peace’s stake. Controlling shareholder Guochuan Lai’s ownership was fairly disastrous for the club, but his unloved tenure finally came to an end after Bilkul Football WBA, a company ultimately owned by Florida-based entrepreneur Shilen Patel and his father Dr Kiran Patel, acquired an 87.8% shareholding in West Bromwich Albion Group Limited, the parent company of West Bromwich Albion Football Club. This change in ownership was urgently required, due to the numerous financial problems facing West Brom, including growing high-interest debt and serious cash flow concerns, following years of no investment from the former owner. Indeed, West Brom’s auditors had already rung the alarm bell in the 2021/22 accounts when they cast doubt on the club’s ability to continue as a going concern without making player s...
1 comment
Read more

Spurs to sell minority stake

Tottenham Hotspur is in talks to sell a minority stake in a deal that could value it at up to £3.75 billion and pave the way for Joe Lewis and his family to sever ties with the Premier League football club. Tottenham chairman Daniel Levy is seeking an investment that values the club at between £3.5 billion and £3.75 billion, including debt. While the terms of any deal have not been finalised, City sources expect Spurs to sell about 10 per cent. The club is being advised by bankers from Rothschild on the sale. Tottenham wants to raise fresh capital for new player signings and to help fund the development of an academy for its women’s team, as well as a 30-storey hotel next to its north London stadium. The financier Amanda Staveley, who brokered the deal for Saudi Arabia’s Public Investment Fund to take over Newcastle United, is understood to be among the parties to have expressed an interest in Tottenham. Staveley’s fund, PCP Capital Partners, has raised about £500 million to ...
Post a Comment
Read more

Millwall punch above their weight

Millwall’s season was overshadowed by the tragic death of owner John Berylson following a car accident. The American had been an exemplary owner, beloved by the fans for his leadership, passion and generosity. Millwall’s finances had been pretty good during his tenure, which we shall explore by looking at the most recent accounts from the 2022/23 season, when the club narrowly missed out on a place in the play-offs after finishing 8th. Millwall’s pre-tax loss slightly reduced from £12.6m to £12.2m, as revenue rose £0.8m (4%) from £18.6m to a club record £19.4m and player sales improved from a £0.1m loss to £2.5m profit. However, other operating income dropped from by £1.1m from £1.3m to £0.2m, while operating expenses increased £1.7m (5%) from £31.6m to £33.3m. The main driver of the revenue increase was broadcasting, which rose £1.1m (12%) from £9.1m to £10.2m, though match day was also up £0.4m (7%) from £5.8m to £6.2m. In contrast, commercial fell £0.7m (19%) from £3.7m to £3....
Post a Comment
Read more