The loan will cover another month of player wages while 777’s takeover process remains pending. The loan could be converted into equity if the takeover is approved.
However, the loans need to be repaid if the deal falls through – a situation that has raised concerns about Everton’s financial stability.
The prospective £500m takeover by 777 Partners is under scrutiny and awaiting approval from the Premier League’s owners’ and directors’ test and the Financial Conduct Authority (FCA).
The final decision on the takeover will not come until the end of the year, and the FCA is yet to receive the necessary audited financial statements from 777 Partners for the acquisition to proceed.
A spokesperson for 777 Partners addressed the issue, saying: “We have submitted all relevant documentation to the FCA in line with their requests and indicative timings.
“As we have previously stated, the regulatory processes in relation to the proposed acquisition of Everton need to be allowed the proper time and space to run their course in private, and so we will not be commenting further.”
Everton owner Farhad Moshiri added: “The more time that I have spent with the 777 team, the more my confidence increases that we have found the right people to take the club forward in the modern era.”
Moshiri remains hopeful that the acquisition will proceed according to the set timetable.
In response to these developments, Everton’s Fan Advisory Board has raised several questions for 777 Partners to address.
The investment firm has faced controversies and allegations of fraud and unpaid bills, including in its dealings with the British Basketball League.
Such allegations could potentially jeopardise the takeover’s approval, as they would be considered disqualifying conditions under the Premier League’s owners’ and directors’ test.
777 Partners has denied the allegations, stating that they conduct their businesses in compliance with local laws and regulations and will vigorously defend their reputation.
In a parallel development, Everton’s disciplinary hearing concerning the club’s alleged breach of Premier League spending rules will take place secretly this week, per the Daily Mail.
The independent commission overseeing the case began proceedings on Tuesday, with both Everton and the Premier League presenting their opening submissions behind closed doors.
The hearing will likely continue into next week.
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