Premier League
The Friedkin Group Pulls Out Of Potential Takeover Of Everton
The Friedkin Group has withdrawn from the potential takeover of Everton. The American investors previously come to terms on a £500 million agreement to acquire the club from Farhad Moshiri, but they decided to back out on Thursday evening.
Friedkin had already invested £200 million to assist the construction of Everton’s new stadium at Bramley Moore Dock, but they unexpectedly chose not to proceed with a deal that would have involved acquiring the 94% stake currently owned by Moshiri’s Blue Heaven Holdings.
This sudden decision took everyone involved in the negotiations by surprise.
Last month, the club and potential investors, led by Texan billionaire Dan Friedkin, entered an exclusivity period aimed at concluding Moshiri’s lengthy efforts to sell the club.
The British-Iranian businessman had earlier reached an agreement with 777, but that lengthy takeover ultimately fell through in May.
It is believed Friedkin pulled out because of a lack of clarity regarding loans 777 Partners had made to Moshiri, to help with the day-to-day running of Everton, as part of its takeover attempt of the club.
“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,” an Everton statement released on Friday morning read.
“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. 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.”
Everton’s financial situation is not as perilous as it once was and, although the collapse of the takeover is a blow, it is thought the club is not at risk of going into administration, as was once feared.
With the stadium scheduled for completion in December, they will be positioned to generate increased revenues in the upcoming season.
However, the ongoing uncertainty regarding Everton’s long-term future will raise concerns among a fanbase that has faced increased anxiety from the club in recent years.
Last season, Everton faced yet another relegation struggle, ultimately finishing 15th, but it was a challenging journey that included a total deduction of eight points for violating the Premier League’s profitability and sustainability regulations.
In the meantime, Everton is set to sell Amadou Onana to Aston Villa for £50 million, pending the Belgium midfielder’s return from his holiday after representing his country at the European Championship in Germany.
There remains interest from Manchester United in Jarrad Branthwaite but the departure of Onana should alleviate Everton’s need to sell the highly-rated center-back.
