The Friedkin Group reaches agreement to buy Everton

[Dublin blue 75]

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we should be fine PSR wise for this year still no? The books went in at the end of June? Unless I’ve misunderstood that

I think so yes. But cash flow will be an issue during next season.. there will be extra costs re BMD inevitably

 

[MikeH72]

I mean sure, but it wasn't at the time was it? Who else was offering it up when we needed it?

There were many, many alternatives to 777 as we found out earlier this year when they were binned off and about 6 parties came forward to try and buy the club. I’m not having that they didn’t have an eye on us 12 months ago and were ignored in favour of Moshiri’s favoured choice of 777.

 

[Sussex]

Oh dear. Now where do we go.

Selling the big issue?

 

[Bluewolf]

Apparently it was the risk associated with the 777 debt/fraud case.

I wonder if friedkin thought that with the look of 777 going bust they thought they might not have to pay the £200m but have found out that the payments are set to default to acap. So that makes the club £200m more expensive then what they wanted to pay.

Lets be honest our issue is the people who are looking to buy us now are trying to buy a bargain, thats why their interested. But moshiri, kenwright and his mates have run the club so badly that even if moshiris sells his shares for £10m the debt of the club and the pay day style structures of the repayments means that who ever takes us over needs to clear the debt or well keep on slowly drowning in the intrest payments.

Meaning were not actually a bargin but probably one of the most expensive clubs outside the top 8 to buy.

 

[Damo_1878]

ACAP are just a lender to 777, they aren’t actually linked to them in any way as an entity.

By being a lender they are linked

777 could be viewed by the court as a vehicle for ACAP

There is also such a thing as "piercing the corporate veil" and other things to consider

 

[pfim]

Yes that was the wording, though didnt they simply pay off MSP + Bell/Downing?

Its been stated by 'certain posters' that we still needed an additional £100mil to get the stadium finished. So it seems that was always paid ?



I dont think anyone will care about the TFG debt.

Its R&M + 777 + TFG now isnt it?

If TFG were planning to purchase the club why not pay off 777? Are 777 not allowed to sell or settle any assets at the moment?

What could possibly be the issue with settling a debt?

It doesnt seem that TFG were serious.

The TFG debt will need to be paid at some point as well. I doubt they are in it for the long term.

The club is leveraged to the hilt, expecting someone to fork over 500 million as the last money in isn't realistic.

777 or RMF needs to budge on their terms or this club will never be sold.

 

[tirion]

As soon as they tipped up I knew they were chancers.

Their record at Roma - spending a bit then going all moneyball - had alarm bells ringing for me..

Just a bunch of Toyota car salesmen. No great loss.

prays for @matty1878 and @MikeH72 , know you know why we wouldn't stump up a lousy £2m for Philogene, expect all the other deals in the pipeline to collapse i.e No Gnonto or the fella from Napoli, EFC are on the brink

 

[pfim]

I wonder if friedkin thought that with the look of 777 going bust they thought they might not have to pay the £200m but have found out that the payments are set to default to acap. So that makes the club £200m more expensive then what they wanted to pay.

Lets be honest our issue is the people who are looking to buy us now are trying to buy a bargain, thats why their interested. But moshiri, kenwright and his mates have run the club so badly that even if moshiris sells his shares for £10m the debt of the club and the pay day style structures of the repayments means that who ever takes us over needs to clear the debt or well keep on slowly drowning in the intrest payments.

Meaning were not actually a bargin but probably one of the most expensive clubs outside the top 8 to buy.

No serious person ever thought that.

 

[MikeH72]

prays for @matty1878 and @MikeH72 , know you know why we wouldn't stump up a lousy £2m for Philogene, expect all the other deals in the pipeline to collapse i.e No Gnonto or the fella from Napoli, EFC are on the brink

Yeah this doesn’t have anything to do with Philogene you bizarre individual.

 

[Martin Alvito]

So, they will end up focused on Roma as they stated many times.

The debt to MSP & Bell/Downing just transfers to TFG.

What is stopping someone doing a similar deal but taking on the debt to 777?

TFG had to pay off MSP with immediate effect due to the structure of that deal, but either didn't have or didn't want to stump up enough to also clear the 777 debt.

The risk with the 777 debt is a court's involvement. A-Cap will of course push for the highest possible valuation on 777's debt, but even if the parties agree to something the court might set it aside and apply its own figures. That's the morass TFG doesn't want to risk getting sucked into.

Until there's some clarity on that front, it will be difficult to transact a sale. Moshiri has, in essence, screwed himself. Every day racks up further interest charges that will just diminish what he can recover from his mismanagement.

 

[blueblue]

This weakens Moshiri's position even further, a disaster for the club as it looked as if there was stability coming at last.
How many of those who were involved in the last round of bidding are still interested now and Friekdin pulling out will then certainly reconsider their interest.

Another bad day at Everton FC , WHEN WILL IT EVER END ?

 

[kenada_blue]

Ultimately, Friedkin Group could have paid off the loans owed to 777. Reading between the lines, they were buying the club on the hope of 777 crumbling and them not having to pay back the loans. ACap have kicked up a fuss so Friedkin has decided he doesn't want to either pay them off in full / fight a court battle.

In that scenario, its no great loss. The club need committed owners willing to spend cash. The lack of backing of the DOF when trying to compete with the mighty Ipswich for Philogene was a red flag.

Why would anyone want to give money to a set of sharks who's empire has collapsed around them?

And I'm sure Friedkin would cover it...we just don't know the implications

 

[Toffeepot]

Really?

That's what he said
Club is still his
Administration would cost him a lot more

 

[kenada_blue]

TFG had to pay off MSP with immediate effect due to the structure of that deal, but either didn't have or didn't want to stump up enough to also clear the 777 debt.

The risk with the 777 debt is a court's involvement. A-Cap will of course push for the highest possible valuation on 777's debt, but even if the parties agree to something the court might set it aside and apply its own figures. That's the morass TFG doesn't want to risk getting sucked into.

Until there's some clarity on that front, it will be difficult to transact a sale. Moshiri has, in essence, screwed himself. Every day racks up further interest charges that will just diminish what he can recover from his mismanagement.

Exactly

 

[Zatara]

With the Onana sale, the stadium being funded and the PL payments coming in we should be ok from what people have previously said.

We are paying high interest loans of £650m which is the biggest issue, once the stadium is complete can we borrow against that on a long term loan with better rates?

Yes. Once the stadium is built then its going to mean a long term low interest loan against the stadium and R&M + TFG + 777 all paid off.

I don't know I just can only see somebody with so much money they don't see 200m or whatever extra payment as significant to them whatsoever.

If we stay in business until the stadium is complete -- pay the 3 entities off and were in a FAR better position for a sale.

Suggests to me the Friedkin Group lawyers in the USA are very nervous about that court case

With them inheriting an unquantifiable liability from it

Suggests to me that they were never serious. Due diligence would not take more than a fortnight and especially interesting is that everything is public knowledge.