Everton administration verdict emerges after 777 Partners takeover chaos
Kieran Maguire believes that one of the parties interested in buying Everton has done the sums over the cost post administration.
The football finance expert has explained the positives and negatives of a club going into administration as 777 Partners’ deadline expired.
Farhad Moshiri is now open to talking to other parties over the takeover of the club.
Speaking on BBC’s Total Sport Merseyside, as quoted by Fan Banter on 2 June, Maguire said: “I think in terms of administration, there are other parties interested in the club. I would think at least one of them has done the sums.
“If a football club goes into administration – and you buy that club from the administrators – you only buy the assets and you don’t inherit any of the debt. Therefore, you could buy Everton Football Club for a price which may be cheaper than buying it from Farhad Moshiri.
“You don’t have to pay MSP, you don’t have to repay 777, you don’t have to repay any of the other lenders – so you can see the benefits in that.
“The downsides are potential job losses, suppliers taking a significant cut to what they are owed, and the Premier League would take steps to address it.
“So there are positives and negatives to administration.”
Everton are unlikely to go into administration
Textor’s potential interest in buying the Toffees comes at a crucial time for the club as they are currently facing financial difficulties.
The expiration of the 777 Partners’ deadline and the openness to talks with other parties, including Textor, signal a critical juncture for Everton.
Administration is a legal process that allows a business to continue operating while its debts are restructured or paid off.
While it offers some benefits, such as potentially reducing the acquisition cost by avoiding the inheritance of existing debts, it also has significant downsides.
The hope for Everton will be to avoid administration, as it would have a significant impact on the club’s operations and reputation.
This is where Textor could potentially step in as a saviour.
As the founder and chairman of Eagle Football Holdings, which owns a 45% stake in Crystal Palace, Textor has experience in football club ownership.
His interest in the club could provide a much-needed injection of capital and stability.
In other Everton news, an update has emerged on the club’s pursuit to sign a Chelsea attacker who’s set to leave this summer.
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