I dont see how we are even sell to buy at the moment, we are still very much in sell to survive mode.
We currently have around 400+m in loans and these arent loans like United and Spurs have with small interest rates, some of these loans are at 20%.
We currently have around 400+m in loans and these arent loans like United and Spurs have with small interest rates, some of these loans are at 20%.
Saint Domingo
Player Valuation: £90m
Ever club outside the top 6 is now sell to buy for good. Thats the outcome of the financial regs ‘saving’ us all. If Forest get relegated because they’re deducted 10 points and end up in administration I’d love to know how the financial regs had saved them.
roydo
in memoriam - 1965-2024
Dont disagree mate. Not even a little bit. But if we get over this 10 point bump, and whatever they lob our way as well, unless I am mistaken, quite a bit of them loans get converted to equity with new owners. Whether that is a good thing, have not got a clue.
NathDogg
Player Valuation: £50m
What the Christ is the FA playing at - another defunct organisation which sold its soul a long time ago.
Pretty much what every club will be but it will get easier we will have more room, but when we can finally get in the new stadium and thenwhatever takeover happens try to get new deals into the club stadium naming rights, shirt sponsor ect. Will never be the same now is just us having to work smart but will have more room to take chances
Only the 777 loans, the other loans are still very much a noose around our neck.
This is insane.
Are we blacklisted by so many lenders that we’re having to take out 20% loans?
Even at like <5% they’d stand to make a fuckton on a multi million £ loan.
roydo
in memoriam - 1965-2024
Being honest, I have totally lost track of who we owe and how much mate.
I dont even know who is making decisions at the club anymore.
In an Echo article today, they say that we owe 777 £80m and that may rise to 100m by the end of Jan. However after that date they are unwilling to provide more unless the FA give the green light. I assume the article is correct, in which case of the debt only 100m or so can be converted to a holding company loan which wont need to be repaid until we are on our feet again.
Just what ive read mate, take it with a pinch of salt, but I guess its the same as normal people.
If I went to the bank and had debts that I clearly couldnt pay I cant imagine anybody with any sense would lend me more.
Its of course different with us being in a billion-pound industry, but I wouldnt lend Everton a carrot at the moment.
I know Esk gets a bad rep and hes not always right, but I think these figures are pretty accurate, no doubt somebody will be along to say hes talking rubbish, so who knows.
In the bleak mid-winter….
Frosty wind made moan, Earth stood hard as iron, Water like a stone…….With the exceptional uplift in results of recent weeks, it is tempting to believe that the huge difficulties facing…
theesk.org
By the end of the last accounting period Moshiri had sunk £750 million into the club, comprising £300 million of equity and £450 million of shareholder loans. Since then Moshiri provided another £50 million earlier in the financial year 2022/23 and a further £20 million alongside MSP’s limited partners funding in May 2023. A total of £820 million by Moshiri.
Yet because of the accumulated losses arising from wild spending (particularly in the early years), the below budget performance on the pitch, Covid (to be fair), moribund commercial performance, much higher than expected stadium costs and a huge increase in interest costs, even this level of investment failed to keep Everton from their increased reliance on external funding.
As a result at the end of 2023 Everton have approximate borrowings of £200 million to Rights and Media Funding (at base rate plus 5% per annum), £140 million to MSP and their limited partners, £20 million to Metro Bank (Everton’s bankers) plus emergency funding of £100 million from 777 Partners – working capital provided monthly to meet the difference between income, operating costs and payments to the main stadium contractor Laing O’Rourke.
That’s £460 million outstanding with commercial rates of interest being charged.
In addition, there’s a further £150 million to be found to complete payments to Laing O’Rouke. Maintaining the payment schedule with Laing O’Rourke is critical. Defaulting on the existing contract is highly punative.
Adding Moshiri’s £500 million of shareholder loans, the outstanding payments to Laing O’Rourke and existing borrowings we have a total in excess of £1.1 billion.
Yep, no idea whos hand is on the rudder atm.
Probably the Captain of the Titanic.
Agreed.
Same could be said for us mate, we even have the ten point deduction to start with.
I don’t doubt the truth in it, I just think billion pound corporations taking out loans at that rate is lunacy.Just what ive read mate, take it with a pinch of salt, but I guess its the same as normal people.
If I went to the bank and had debts that I clearly couldnt pay I cant imagine anybody with any sense would lend me more.
Its of course different with us being in a billion-pound industry, but I wouldnt lend Everton a carrot at the moment.
I know Esk gets a bad rep and hes not always right, but I think these figures are pretty accurate, no doubt somebody will be along to say hes talking rubbish, so who knows.
In the bleak mid-winter….
Frosty wind made moan, Earth stood hard as iron, Water like a stone…….With the exceptional uplift in results of recent weeks, it is tempting to believe that the huge difficulties facing…
By the end of the last accounting period Moshiri had sunk £750 million into the club, comprising £300 million of equity and £450 million of shareholder loans. Since then Moshiri provided another £50 million earlier in the financial year 2022/23 and a further £20 million alongside MSP’s limited partners funding in May 2023. A total of £820 million by Moshiri.
Yet because of the accumulated losses arising from wild spending (particularly in the early years), the below budget performance on the pitch, Covid (to be fair), moribund commercial performance, much higher than expected stadium costs and a huge increase in interest costs, even this level of investment failed to keep Everton from their increased reliance on external funding.
As a result at the end of 2023 Everton have approximate borrowings of £200 million to Rights and Media Funding (at base rate plus 5% per annum), £140 million to MSP and their limited partners, £20 million to Metro Bank (Everton’s bankers) plus emergency funding of £100 million from 777 Partners – working capital provided monthly to meet the difference between income, operating costs and payments to the main stadium contractor Laing O’Rourke.
That’s £460 million outstanding with commercial rates of interest being charged.
In addition, there’s a further £150 million to be found to complete payments to Laing O’Rouke. Maintaining the payment schedule with Laing O’Rourke is critical. Defaulting on the existing contract is highly punative.
Adding Moshiri’s £500 million of shareholder loans, the outstanding payments to Laing O’Rourke and existing borrowings we have a total in excess of £1.1 billion.
Yep, no idea whos hand is on the rudder atm.
Probably the Captain of the Titanic.
Desperate times though…
pfim
Player Valuation: £40m
The more debt you take, the higher the risk and the higher the rate.
For the 2nd point, no one is going to lend to EFC at below market rates for the fun of it.
I weren’t suggesting they’d lend to us below market rate, I’m merely stating they’d still make a lot on a loan of that size.
I get they’re also risking a lot by lending a basket case like us those sums of money, so I kind of get it.
Tbh I’m just struggling to get my head around how bollocksed we actually are.
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