777 face pressure to finalise Everton takeover as crucial deadline looms

A long-awaited conclusion to the Everton takeover may be imminent, nearly seven months after the initial agreement, although it may not be the climax Toffees supporters are hoping for.

777 Partners, the Miami-based investment firm eager to take the club off Farhad Moshiri’s hands, have waited aeons for approval from the Premier League to finalise the takeover.

777 have already taken up ownership duties, pumping around £180 million in interest-bearing loans to aid the club’s ongoing projects, especially payroll obligations and the construction of their new Bramley-Moore Dock Stadium.

However, the takeover process has hit several stumbling blocks on the way including reported legal cases and allegations of non-payment of debts against the prospective new owners and their affiliated businesses.

Despite these hurdles, the Premier League has shown a willingness to approve 777’s deal to purchase Everton but under certain conditions.

The American firm must convert their £180m loan to the club into equity, secure funds in an escrow account for ongoing financial obligations, provide proof of funding to complete the stadium project and repay a £158m loan to MSP Sports Capital.

Everton owner Moshiri had previously opened talks with MSP for a similar financial arrangement to the one with 777. 

Both parties were in talks over a £150m loan to the club structured as a convertible debt, allowing MSP the option to acquire a 25% ownership stake in the club later on.

While the deal fell through due to objections from existing creditor Rights and Media Funding Limited (RMF), a loan of around £158m arrived in May last year, which has since been used to cover stadium construction costs.

The loan was secured against Moshiri’s majority stakeholding in Everton, and the impending deadline for repayment adds further pressure to the situation.

Liverpool Echo reports that the loan must be repaid by Monday, April 15, or Moshiri defaults, the 777 deal collapses, and MSP would potentially acquire the club.

777 are still confident of reaching a positive outcome, with plans to finalise the takeover before Everton’s fixture against relegation rivals Nottingham Forest on April 21.

However, with the MSP loan deadline looming and Everton in need of additional capital, the coming days are crucial for reaching a resolution.