Everton: ‘Messy’ legal twist on cards at Goodison Park with 777 Partners
Kieran Maguire has warned that if 777 Partners’ takeover deal to buy Everton collapses, there could be a “very messy” legal situation at Goodison Park.
The football finance expert shared that the group have lent Everton £170million so far which, according to sources, is secured against the assets of the club, meaning the group is far down the list of priorities for repayment.
However, he went on to share that things could turn nasty and messy if the takeover is not approved, with the possibility of legal action on the cards.
Speaking on The Price of Football podcast [4 March], Maguire shared: “777 have lent Everton £170million, at least. They are a prospective owner. If the Premier League rejects them, do they get their fingers burnt? It depends on the circumstances of the loan.
“What we’re hearing from fairly reliable sources is that Everton have borrowed money effectively on mortgage terms. That means the money is secured against the assets of the club. The money from 777 is way down the list of priorities in terms of who gets paid and when.
“We do see some owners, or prospective owners, coming in and saying ‘We know you can’t meet this month’s wage bill, here’s £500,000 to help you pay it, then the deal has collapsed and things can turn very nasty and it all gets messy and has to go through some legal regress.”
Will 777 Partners take over at Everton?
Maguire’s conclusion is based on what has been seen to happen previously, rather than any indication from the buyers, but the possibility of further chaos behind the scenes at Goodison Park is a worrying claim for anybody involved.
With loans arriving from 777 to help pay day-to-day running costs, there is every possibility that they will ask for those loans back should they fail to complete their takeover, which could be an issue.
However, the positive swing is that these loans are said to be further down the list in terms of urgency for repayment than others, which could see the issue pushed further back.
It has previously been suggested that Everton are in over £1billion worth of debt to several creditors having taken loans – something which could be a further issue for the club.
There is an ever-growing list of concerns surrounding the takeover and 777 as a whole, with issues throughout their companies including credit downgrades and legal claims engulfing the discussion around the takeover.
In other Everton news, a new Dele Alli update has emerged.
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