An agreement has been reached for The Friedkin Group (TFG) to complete a takeover of Everton, subject to regulatory approval.
The Athletic reported earlier on Monday that TFG were close to finalising a deal to purchase Everton owner Farhad Moshiri’s 94 per cent stake in the Merseyside club.
A joint statement said from Moshiri’s company and TFG said: “Blue Heaven Holdings and The Friedkin Group confirm that they have reached agreement over the terms of the sale of Blue Heaven Holdings’ majority stake in Everton Football Club.
“The transaction is subject to regulatory approval, including from the Premier League, the Football Association, and the Financial Conduct Authority.”
A spokesperson for The Friedkin Group said: “We are pleased to have reached an agreement to become custodians of this iconic football club.
“We are focused on securing the necessary approvals to complete the transaction. We look forward to providing stability to the club, and sharing our vision for its future, including the completion of the new Everton Stadium at Bramley-Moore Dock.”
It represents the latest twist in a long-running but ever-changing takeover saga that began over 12 months ago. In that time, Everton’s external debt has risen to around £600million ($798m, €718m) as they have sought ways to finance everyday running costs and their new stadium project.
£200m ($266m, €239m) of that debt is owed to Friedkin, the owner of Italian side AS Roma, who The Athletic first revealed was a frontrunner to buy the club in June.
Friedkin went on to pull out of exclusive talks with Moshiri in July, with those close to the process citing concerns over Everton’s debt, before Textor emerged as the new favourite.
The Athletic reported this summer that Textor, the owner of Lyon had entered into negotiations with Moshiri over a deal. That move, though, was complicated by Textor’s Eagle Football Group holding a 45 per cent stake in Crystal Palace, with Premier League rules preventing parties from holding an interest in any two member clubs.
It also prohibited him from officially entering into exclusivity with Moshiri and thereby warding off the threat of rival bidders.
Speaking to Sky Sports this month, Textor said he was confident of completing a takeover of Everton but maintained that he could still be “gazumped” by a rival bid.
As a major lender to the club, TFG insisted on its £200m loan being repaid in full before another takeover could be completed, leaving them close to events as they played out.
TGG also walked away from talks initially prior to acquiring Italian side Roma four years ago.
Like Everton, Roma have had a turbulent start to the season. Fans protested after manager Daniele De Rossi was sacked just four games into the new campaign, with chief executive Lina Souloukou stepping down from her role on Sunday.
Estimates suggest TFG, which made money through its subsidiary Gulf States Toyota before branching into other spheres including film and entertainment, is worth around $6billion (£4.5bn, €5,4bn).
TFG will now hope to succeed where others have failed in completing a takeover of the Merseyside club. Moshiri has also previously entered into exclusive talks with the KAM Group, MSP Sports Capital and, most controversially Miami’s 777 Partners.
All of those deals collapsed, though, with 777 unable to meet all conditions for their takeover by the June deadline.
777, who are being sued for fraud in New York, have also lent Everton around £200m. What happens to that money is unclear.
Any deal for TFG to buy Everton remains subject to regulatory approval, which would usually be expected before the end of the year.
Everton have endured another difficult start to the season. Winless in their opening four games, they earned their first point of the season away to promoted Leicester City on Saturday but remain close to the foot of the table.
Representatives for Everton, Moshiri and TFG were all contacted for comment.
(Archivio Massimo Insabato/Mondadori Portfolio via Getty Images)
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