- Farhad Moshiri had granted 777 Partners a two-week extension to their deadline
- The Miami-based investment firm had been in talks over a deal since September
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Everton have confirmed that 777 Partners’ proposed takover of the football club has collapsed.
In a statement issued to the club’s website, Everton announced that their sale purchase agreement with the US investment firm had expired on Friday.
‘The agreement between 777 Partners and Blue Heaven Holdings Limited for the sale and purchase of the majority shareholding in the Club expired today,’ the Toffees wrote.
‘The Club’s Board of Directors recognises the considerable level of financial support 777 Partners has provided the Club over recent months and would like to take this opportunity to thank them for this.
‘The Club will continue to operate as usual, while it works with Blue Heaven Holdings to assess all options for the Club’s future ownership.’
The Miami-based investment firm had been in talks to buy Farhad Moshiri’s majority stake in the Merseyside club since September, with 777 executives Josh Wander and Steve Pasko striking an agreement with the Iranian businessman to buy the club.
They had also provided the club with several unsecured loans, worth around £200million, to help the Toffees manage their operating costs. Mail Sport understands that 777 had given Everton, who are in the process of building a new stadium on the banks of the River Mersey, an extra injection of £8million at the beginning of May.
But amid growing doubts over the firm’s ability to purchase the club and provide long-term funding, Mr Moshiri had provided the US firm a two-week extension to their sale purchase agreement in May.
It came following extensive face-to-face talks with representatives of the investment group.
Moshiri, who holds a 94.1 per cent stake in the club, had appeared to be close to cutting ties with the firm, after the investment firm had been hit by a string of negative headlines that posed questions over firm’s operations and liquidity.
In May, the company was accused of fraud in a New York lawsuit – the 17th in which the firm has been named in. In that case, Pasko and Wander were accused of operating a ‘operating a giant shell game at best, and an outright Ponzi scheme at worst’.
Meanwhile, 777’s budget Australian airline, Bonza, went into administration, leaving passengers stranded around Austrlia.
The investment firm also had their assets frozen in Belgium after they were alleged to have defaulted on payments relating to top-flight side Standard Liege. Fans of the club had pointed the blame at their owners 777 for their recent financial woes and had protested against against the club’s ownership, causing their game against Westerlo at the beginning of May to be postponed.
‘The Board of Directors would like to thank everyone connected to Everton for their patience over recent months and reiterate its commitment to providing further updates when it is appropriate to do so through the Club’s official communication channels.’
While much uncertainty revolved around 777’s proposed purchase of Everton, several other potential buyers have emerged, including Crystal Palace co-owner John Textor.
The Eagles co-owner reportedly claims he wanted to sell his 45 per cent in the south London club in order to finance a deal to invest in Everton.
‘Yes (I’ve had conversations around buying Everton), with the existing constituents – different groups, different lenders, different equity holders,’ Textor, who is the chairman of Eagle Football Holdings, who have stakes in Palace, Lyon, Botafogo, WD Molenbeek, and FC Florida, said to The Athletic.
‘I’ve asked them: “Is there a way to solve all this confusion and address everyone’s problems?” I’m very open-minded to it but I don’t want to come into a situation where I’m not really welcome.’
He added: ‘There’s the guy running it (Moshiri) who’s still calling the shots. Maybe we’re uniquely positioned to solve a lot of problems for people but we’re just watching it right now because there are other people who already own pieces of that club who also want to figure it out. I’m looking at that but it’s quite confusing and some things have to clean up.’
More to follow…
