Everton takeover: Friedkin Group make 'formal appointment' as Stefan Borson shares additional debt theory
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The Friedkin Group (TFG) may have provided Everton with additional funds as the takeover process nears a conclusion, according to football finance expert Stefan Borson.
TFG’s purchase of the Toffees from majority owner Farhad Moshiri is expected to be completed midway through next month. The American firm - headed by Dan Friedkin - have already injected £200 million into the club after paying back loans to MSP Sports Capital and local businessmen George Downing and Andy Bell and providing Everton with working capital. TFG also paid off some of the £225 million debt owed to Cheshire-based Rights and Media Funding.
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Hide AdThe Texan-based TFG will inherit a club that has lost almost £400 million in the past four years. One of their first tasks at the Goodison Park helm will be to hire a permanent chief executive, with Colin Chong serving in an interim role for almost 18 months after the departure of Denise Barrett-Baxendale. Sports management company Nolan Partners have been appointed to identify the right candidate for the key role.
And because cashflow is low for all Premier League clubs at this stage of the season, Borson has suggested TFG could have injected more money to help pay Everton’s wage bill. Speaking on talkSPORT on Monday, Borson said: “We understand the Friedkins have formally appointed Noland Partners to look for a chief executive. They are probably approaching the point where they will get the approval they need from the Premier League. There are other approvals and there are some rumours they have got the other approvals but I haven't seen them confirmed.
“I don't think the Friedkins will have a problem getting approval. The only slightly surprising thing is how quickly Sir Jim Ratcliffe got his approval from the Premier League 27.7 per cent stake) even though that was over Christmas and the New Year. I suspect there is no issue but really that should have come through by now.
“Everything I hear is the deal will [be done]. I suspect they have put more money in as well. This is a low period of cash for clubs and that's why we have seen tens of millions of pounds put into Aston Villa and Newcastle by way of equity.
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Hide Ad“I don't think a new owner of Everton will put equity in until they have the reins but I suspect in the background, they are putting in additional debt to pay bills, to pay the wage bill. Cash is relatively low at Everton. I expect the deal to already have happened but it surely must be imminent.”
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