MSP Sports Capital can balance Everton risk after investment news – Finance Expert
We’re delighted to welcome football finance expert Dr Daniel Plumley as our exclusive columnist. Each week he’ll be giving his views on the biggest talking points at Everton...
Dan Plumley has insisted that MSP Sports Capital can balance the risk of investment at Everton by taking a minority stake with a preferential share structure.
Everton have yet to confirm the investment with a minority stake being eyed, although The Athletic has reported that stadium funding has already started.
The finance expert admitted that given the sporting jeopardy at play at Goodison Park, it makes sense as to why any incoming investors would look to do it this way.
“The reason you would look at preferential shares is essentially that you can still pay out dividends to shareholders, but they’re also ideal for risk-aversive investors,” he exclusively told Goodison News.
“That tends to be the way you view this, you can redeem them any time, they have interest attached to them as well. I think I would focus on that particular aspect more than anything, the risk of investing in Everton, especially with the sporting jeopardy and what you tend to find is that those preferential shares are done a lot of the time there is a risk attached.
“Doing the share issue this way gives you the chance to balance that risk portfolio.
“From the outside looking in, we’re never 100% sure of what is going on with any takeover, but given the sporting jeopardy of the club, that would stack up and why you would be looking at doing it that way.”
Change is finally coming at Everton, regardless of how long it is actually taking.
Moshiri has been facing immense pressure from fans who want big changes in the boardroom to take the club forward, and it appears as though that is going to happen.