Everton takeover collapses as both parties conclude talks
The proposed takeover of Everton FC by US businessman, Daniel Friedkin, has collapsed.
Loans from previous lenders, including Miami-based 777 Partners, appear to have been the stumbling block.
The Merseyside club announced on June 21, that it had granted a period of exclusivity to Friedkin, who also owns Italian Serie A side, AS Roma.
It followed the collapse of previous exclusive bidder, 777 Partners, after the US-based group was unable to come up with the funds to buy out 94.1% owner, Farhad Moshiri, in a deal reportedly worth around £500m.
At the time, the club put out a statement, saying: “Blue Heaven Holdings (Moshiri’s vehicle) has received significant interest from several highly respected parties interested in investing in the club.
“The club can confirm today that a period of exclusivity has been granted to The Friedkin Group to progress discussions to acquire a majority shareholding in Everton
Progress appeared to have been made, so much so that Friedkin repaid a £158m loan to MSP Sports Capital and two local businessmen and loaned around £200m to ensure the completion of construction of Everton’s new £760m stadium by the scheduled December 2024 target.
However, the club issued a new update today, saying: “Following a period of exclusivity, discussions between Blue Heaven Holdings and The Friedkin Group over a potential sale of a majority stake in Everton have ended and The Friedkin Group will not be progressing with a purchase of the club.
“Both Blue Heaven Holdings and The Friedkin Group entered discussions in good faith to explore whether a sale could be agreed. Those discussions have concluded. The parties agree it is in both their interests for Everton to explore alternative options.
“The Friedkin Group will remain a lender to the club and is proud to have played a key role in enabling the new stadium to be built, which will help ensure a bright future for both Everton and the City of Liverpool.
“Blue Heaven Holdings maintains a positive relationship with The Friedkin Group and would like to thank them for the time and effort they have put into this process.”
Ties between the club appeared to have strengthened when Everton announced recently that AS Roma would be its high profile home friendly, on August 10, a week before the start of the 2024-25 Premier League campaign, the club’s last season at its Goodison Park home.
Former preferred bidder, 777 Partners, is currently embroiled in serious legal issues in the US, with no prospect of an early resolution.
It is reported that Friedkin was loathe to progress the takeover and expose himself to the possible fall-out from these issues, and potential costly settlements.
