Dan Friedkin plan for return of his Everton loans emerges after takeover collapse over 777
Dan Friedkin will not be seeking a quick return of the money he has loaned to Everton after pulling out of his proposed takeover, according to Dave Powell.
The Liverpool Echo journalist reported via X on 19 July in the wake of the deal’s collapse that the American is ready to work with whoever now succeeds him as prospective new owner of the Toffers.
His buyout of Farhad Moshiri has ended for the “sole reason” that concerns around 777 Partners and the money owed to them is seen as too risky amid legal and financial troubles for the Miami-based firm.
Friedkin has loaned £200million to Everton in order to pay off the debt to previous creditors MSP Sports Capital and finance the latest payments on the new stadium [Echo, 24 June].
Powell wrote: “Sources tell me 777 financing issue the sole reason for TFG deal collapse. Won’t be seeking quick return after paying off MSP loan, will work with whoever is next potential owner to find best solution for all parties. Risk deemed too great over 777 due to ongoing litigation.”
Farhad Moshiri’s latest attempt to sell Everton falls through
One saving grace from this news is that the Toffees’ debt to Friedkin and his group seems likely to be far less problematic than the money owed to the group which came before him.
Everton insider Bryan King exclusively told Goodison News on 7 July that the takeover hit a “stumbling block” due to the money that was owed to 777 Partners and so it has proven.
That factor had been seen as something that wasn’t impossible to navigate [The Esk, 16 July] amid Friedkin’s due diligence but he has evidently decided it will be more trouble than it is worth.
The club may have dodged a bullet in terms of 777 failing to get their deal across the line considering the turmoil their other clubs are now facing [AP, 16 May].
But Moshiri’s decision to push through virtually an entire season giving the firm more and more time and building up debt to them, and by extension their lender A-Cap who has now taken control [The Athletic, 19 July], has now managed to bring a very hopeful deal with Friedkin down.
As a result the club are back to square one again and shrouded in uncertainty while heaped with debt.
In other Everton news, the Toffees now face “serious doubts” over their immediate future thanks to the bombshell takeover development.
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