Sport nationThe Premier League is set to make a pivotal decision next week that could shape the future of Everton Football Club. After months of scrutiny and due diligence, the league’s board will rule on whether to approve the proposed £600 million takeover of the Merseyside club by American investment firm 777 Partners.
The potential deal, agreed in principle back in September 2022, has been mired in complexity and uncertainty. Everton’s perilous financial situation, coupled with the intricate web of 777 Partners’ business interests across multiple clubs and industries, has necessitated an exhaustive investigation by Premier League officials.
At stake is not just the ownership of one of English football’s most historic and storied clubs, but also its very existence as a top-flight entity. Should the takeover be rejected, Everton could face a bleak future, with the club potentially unable to repay the £190 million in loans already advanced by 777 Partners to keep the Toffees afloat.
The gravity of the situation cannot be overstated. Everton, a founding member of the Football League in 1888 and ever-present in the top division since 1954, are teetering on the brink of financial ruin. The club’s current owner, British-Iranian billionaire Farhad Moshiri, has made it clear that he is unwilling to inject any further funds into the ailing institution he acquired in 2016.
Moshiri’s tenure has been a turbulent one, marked by lavish spending on players and ambitious plans for a new stadium at Bramley-Moore Dock, all underpinned by a belief that Everton could reclaim their status as a force in English football. However, a series of poor managerial appointments and disastrous transfer dealings have left the club mired in debt and facing the very real prospect of relegation from the Premier League.
The impact of such a catastrophic outcome would be seismic, not just for Everton but for the entire Premier League ecosystem. The loss of a club with Everton’s pedigree and fanbase would be a devastating blow to the competition’s global appeal and commercial value.
It is against this backdrop that 777 Partners, a Miami-based investment firm with a growing portfolio of sports assets, emerged as a potential savior for the Toffees. Led by founders Steven Pasko and Josh Wander, the company has already acquired stakes in several European clubs, including Genoa, Sevilla, Hertha Berlin, Standard Liège, and Vasco da Gama.
The proposed Everton deal would see 777 Partners assume control of the club, injecting much-needed capital and stability into its operations. However, the Premier League’s stringent ownership rules and commitment to upholding the integrity of the competition have necessitated a rigorous vetting process.
One of the key concerns for the league has been the complex nature of 777 Partners’ business interests, which span multiple industries and jurisdictions. The due diligence process has involved untangling this web of investments and ensuring that there are no conflicts of interest or potential breaches of the league’s regulations.
While the Financial Conduct Authority (FCA) and the Football Association (FA) have already given their approval to the deal, the Premier League’s own investigation has taken longer than anticipated, reflecting the high stakes involved and the need for absolute certainty.
If the takeover is approved, it would mark the end of Farhad Moshiri’s tumultuous seven-year reign as Everton’s owner. The British-Iranian businessman, who made his fortune in the steel and energy industries, acquired a 49.9% stake in the club in February 2016, with the promise of ushering in a new era of success and ambition.
Initially, Moshiri’s investment appeared to bear fruit, with Everton securing seventh and eighth-place finishes in his first two full seasons as owner. However, the subsequent years have been marked by a steady decline, culminating in the club’s current precarious position, teetering on the brink of relegation and facing the prospect of severe financial penalties.
Everton’s woes have been compounded by their failure to comply with the Premier League’s Profitability and Sustainability Rules, designed to ensure clubs operate within their means and maintain financial stability. The club was initially hit with a 10-point deduction, later reduced to six, for breaching these regulations, and could face further sanctions in the coming weeks after a second charge.
Crucially, any additional points deduction would not affect the proposed takeover by 777 Partners, as all potential outcomes have been factored into the deal. This pragmatic approach underscores the investment firm’s commitment to securing Everton’s long-term future, regardless of the short-term challenges.
On the pitch, Everton’s struggles have been equally pronounced. Under the stewardship of former Burnley manager Sean Dyche, appointed in January 2023, the Toffees have failed to win any of their last 11 Premier League matches, leaving them precariously positioned just four points above the relegation zone.
Dyche’s future at Goodison Park has been the subject of intense speculation, with reports suggesting that the club lacks the funds to dismiss him until the takeover is completed. The Englishman is understood to be protected by a clause in his contract entitling him to be paid until the end of the season if he is sacked, a severance package that could cost Everton around £4 million.
For Everton’s long-suffering supporters, the prospect of a fresh start under new ownership represents a glimmer of hope amidst the gloom. 777 Partners have promised to invest heavily in the playing squad and infrastructure, with the aim of restoring the club’s status as a force to be reckoned with in English football.
However, the road to recovery will be long and arduous, with Everton facing the very real prospect of playing in the Championship next season – a fate they have not endured since the 1950s. The financial implications of such a scenario would be severe, with the club’s already precarious finances taking a further hit from the loss of Premier League broadcasting revenue and commercial income.
Regardless of the outcome of the Premier League’s decision, one thing is clear: Everton Football Club stands at a crossroads, its very future hanging in the balance. The weight of history and the hopes of a passionate fanbase rest squarely on the shoulders of those tasked with charting the club’s course through these turbulent waters.
For 777 Partners, the opportunity to acquire a storied institution like Everton represents both a tantalizing prospect and a daunting challenge. Should their bid be successful, they will inherit a club in desperate need of rejuvenation, but one with the potential to reclaim its place among English football’s elite.
The Premier League, for its part, must strike a delicate balance between safeguarding the integrity of the competition and facilitating the investment and growth that sustains its global appeal. In the case of Everton, the league’s decision will have far-reaching consequences, not just for the club itself, but for the entire fabric of English football.
As the clock ticks down to next week’s pivotal ruling, the eyes of the footballing world will be fixed firmly on the Premier League’s headquarters, where the fate of one of the game’s most iconic institutions hangs in the balance. For Everton and its legions of supporters, the hope is that a new dawn will emerge from the darkness, ushering in a brighter future for a club that has endured more than its fair share of turmoil in recent years.
Sport nation
Amina Umar