The Friedkin Group has pulled out of a potential takeover of Everton. The American investors had agreed a £500m deal to buy the club from Farhad Moshiri but withdrew on Thursday evening.
Friedkin had already paid £200m to help complete the building on Everton’s new stadium at Bramley Moore Dock but dramatically decided against going through with purchasing the 94% stake currently held by Moshiri’s Blue Heaven Holdings.
It was a surprising move and left those involved in the deal shocked. The club and potential investors had entered an exclusivity period spearheaded by the Texan billionaire Dan Friedkin last month that sought to end Moshiri’s long-running attempts to sell up. The British-Iranian businessman had previously agreed a deal with 777 Partners only for that protracted takeover to collapse in May. It is believed Friedkin pulled out because of a lack of clarity regarding loans 777 Partners had made to Moshiri, to help with the day-to-day running of Everton, as part of its attempted takeover of the club.
“Discussions between Blue Heaven Holdings and the Friedkin Group over a potential sale of a majority stake in Everton have ended and the Friedkin Group will not be progressing with a purchase of the club,” an Everton statement released on Friday morning read. “Both Blue Heaven Holdings and The Friedkin Group entered discussions in good faith to explore whether a sale could be agreed. Those discussions have concluded. The parties agree it is in both their interests for Everton to explore alternative options. Blue Heaven Holdings maintains a positive relationship with The Friedkin Group and would like to thank them for the time and effort they have put into this process.”
Joint Statement - Blue Heaven Holdings and The Friedkin Group.https://t.co/LQPvOGEGz2 pic.twitter.com/moeboDkzs7
— Everton (@Everton) July 19, 2024
Everton’s financial situation is not as perilous as it once was and, although the collapse of the takeover is a blow, it is thought the club are not at risk of going into administration, as was once feared. With the stadium set to be finished in December, they will be able garner greater revenues in the coming season.
Nonetheless, continuing uncertainty around Everton’s long-term future will concern a fanbase that has had its worry levels tested in recent years. Last season Everton endured another relegation battle that culminated in them finishing 15th but only after being docked eight points for breaching the Premier League’s profitability and sustainability rules.
Meanwhile, Everton will sell Amadou Onana to Aston Villa for £50m once the Belgium midfielder has returned from holiday, having featured for his country at the Euros. There remains interest from Manchester United in Jarrad Branthwaite but the departure of Onana should alleviate Everton’s need to sell the highly-rated centre-back.
