777 Partners has recently sought the assistance of finance restructuring experts, raising questions about their capability to finalise the acquisition of Everton. The Miami-based investment firm had previously agreed to purchase majority owner Farhad Moshiri’s 94% stake in the club in September. However, mounting uncertainty surrounds their ability to successfully complete the deal.
In the midst of these developments, 777 Partners has faced allegations of fraud and encountered financial struggles in other sectors of their business over the past two weeks. In light of these challenges, Moshiri has engaged in discussions with 777 in an attempt to gain clarity regarding their financial standing and their capacity to settle a £158m loan owed to MSP Sports Capital.
The latest turn of events has seen 777 enlisting the expertise of a team from Los Angeles-based firm B Riley Financial to address “various operational challenges”. According to a memo obtained by BBC Sport, the firm aims to work closely with a “highly skilled consultant” to streamline their operations and identify the most profitable path for their investments.
While 777 declined to provide any comments on the matter, B Riley Financial has described itself as a provider of customised financial solutions to meet the strategic, operational, financial advisory, and capital needs of its clients.
However, the situation surrounding 777 Partners has grown more complex, with the firm and co-owner Josh Wander facing allegations of a “fraudulent scheme” in a civil court filing in New York. Furthermore, an airline under their ownership has voluntarily entered administration, resulting in the stranding of numerous passengers in Australia. Disturbingly, players of 777-owned club Standard Liege have reportedly not received their April payments and are expecting delayed compensation until the conclusion of the season.
These uncertainties have had tangible implications for Everton, with manager Sean Dyche expressing difficulties in planning for the next season due to the takeover ambiguity. Additionally, director of football Kevin Thelwell has indicated that player sales are on the horizon for the summer, urging fans to demonstrate “patience and understanding” as the club strives to enhance its financial situation.
Concurrently, the Everton Shareholders’ Association (EFCSA) has denounced the prolonged takeover process as a “farce” and has advocated for Moshiri to terminate the deal altogether. In the midst of this turmoil, Everton is set to face Sheffield United in their final home game of the season before heading to Arsenal on 19 May for their last match.
The escalation of uncertainty surrounding 777 Partners’ acquisition of Everton has injected an element of turmoil into the football club, with numerous stakeholders closely monitoring the situation as it continues to unfold.