777 Partners / Whatever the hell you like

[Jcr1878]

At least this shows we won't be going into admin any time soon

 

[DuncansPigeons]

At least this shows we won't be going into admin any time soon

My thoughts exactly.

 

[Bkk Andy]

Only if you end up with better financial deal, either longer term borrowing with reduced monthly payments to make it easier on the club in the short term. Problem is that I am not sure we will have better terms with this new lender.

Longer term is probably worse but it might alleviate the immediate problems. Either way we're in a real mess.

 

[Goat]

At least this shows we won't be going into admin any time soon

Does it?

Businesses enter Admin when the amount they owe is greater than the amount they can pay.

Normally.

If its used to pay off debt then great, but it could very well be to keep the lights on.

 

[Tony’s Carp]

Also wouldn't it it better to get R&M loan out the way before MSP?

MSP is due in full at the end of the month. If they don’t intend to take their option it’s the most pressing concern in terms of avoiding administration.

 

[jerseytoffee]

So Moshiri loans us money at 18% interest rate?

Super stuff.

Everything with a pinch of salt of course, but crazy if so

 

[Neiler]

Only if you end up with better financial deal, either longer term borrowing with reduced monthly payments to make it easier on the club in the short term. Problem is that I am not sure we will have better terms with this new lender.

We will be in a better position to refinance all our debt when the stadium is built.

Interest rates are going to start to come down internationally in June, if there is no economic head winds we should see them continue to head south and money will get cheaper.

 

[RomanReigns]

we will be called Loans FC soon

 

[Toffe3m4n]

777 still very much on the scene it would appear..

 

[Azza]

This reads like it's new funding rather than refinancing used to repay MSP.

The offer would help complete construction of the team’s new 53,000-capacity stadium in Liverpool’s Bramley docks and is subject to due diligence, one of the people said, asking not to be identified because the information is private.

The person added that GDA Luma had no interest in controlling Everton and that the offer had been made directly to the club and its owner Farhad Moshiri.

 

[Tony’s Carp]

Wasn't this the firm 777 approached for funding? Don't like the sound of this at all.

There were various reports that Everton were helping 777 get financing to take over the club. If a lender was found willing to lend the money to / for Everton then 777 weren’t really a necessary part of that. So while this might have been initially discussed with 777 it needn’t involve them now.

 

[davids]

We will be in a better position to refinance all our debt when the stadium is built.

Interest rates are going to start to come down internationally in June, if there is no economic head winds we should see them continue to head south and money will get cheaper.

Given our weak position it'll probably be a fixed rate loan.

 

[Exeter_Gently]

MSP is due in full at the end of the month. If they don’t intend to take their option it’s the most pressing concern in terms of avoiding administration.

So can we assume they aren't going to take up the option if we're looking to pay off the loan?

 

[Street end man]

Does it?

Businesses enter Admin when the amount they owe is greater than the amount they can pay.

Normally.

If its used to pay off debt then great, but it could very well be to keep the lights on.

My fears too, if it's to pay off debt then which debt? We have so many to choose from and all loaded with toxic high rate interest. 150m simply scratches the surface for attempting that. If it is to keep the lights on then it has to be a bad move surely, just making us more unattractive to any future buyer than we are already. I guess close season is tough too, same wage bills and running costs but without match receipts. If this is to stave off administration until next season then it's a huge mistake. What would be the point?

 

[Tony’s Carp]

So can we assume they aren't going to take up the option if we're looking to pay off the loan?

Well we don’t know for sure what the loan would be for. The amounts correlate to MSP so that’s a reasonable assumption knowing that MSP are owed at the end of the month.

BUT there’s alternative explanations: for example 150m would also be enough to bridge to the opening of the stadium (say 60m remaining construction and 90m to fund the business). At which point all debt could be refinanced against the completed stadium.

If MSP did intend to take up their equity then that would allow them to take us to the stadium opening without needing to pump in more of their own money, and the business would be no more in debt as MSP’s debt would simply be replaced. But then, there’s the question of 777s debt….

So until we know more it doesn’t rule out MSP taking over but I’d say it’s most likely to allow them to cut and run.