Sport nation777 Partners, a Miami-based private investment firm, has been in the process of taking over Everton Football Club, a prominent English Premier League team. However, recent developments have cast some uncertainty over the completion of the takeover due to regulatory actions in the United States.
Regulators in Utah and South Carolina have issued orders for insurers within the A-Cap group to reduce their financial exposure to 777 Partners. This move is aimed at safeguarding the interests of retirees, widows, and orphans who rely on the insurers for financial security. The A-Cap group has previously funded some of 777 Partners’ sports investments, and this regulatory action could potentially impact the firm’s funding sources.
Despite these challenges, a representative from 777 Partners has communicated to the Financial Times that the firm is confident in its ability to finance both the acquisition of Everton and the club’s three-year business plan. Josh Wander, a co-owner of 777 Partners, has not provided any comment on the situation.
The Premier League, which oversees the top tier of English football, may have concerns about the takeover due to the increasing number of issues surrounding 777 Partners. The recent order in the US is particularly significant as it directly affects the firm’s funding capabilities. This comes after a significant investor withdrew their assets from 777 Partners, resulting in a substantial financial loss for the group.
One of the final obstacles for 777 Partners in completing the Everton takeover is the repayment of loans that the club currently owes to creditors. Given the recent financial setbacks, there is growing skepticism about the firm’s ability to manage these debts.
Despite these concerns, 777 Partners maintains that the takeover and funding for Everton are not in jeopardy. The firm’s assurance suggests that the deal is progressing, but the surrounding issues continue to raise doubts about the outcome of the takeover[16].
Amina Umar
Sport nation