Final nail in the coffin over Everton takeover hit amid £278m 777 Partners twist
The final nail in the coffin may have been put on the Everton takeover with the 777 Partners accused of £278million in fraud, according to Front Office Sports.
The news outlet reported on 6 May that having provided £477million to the Miami-based investing firm, they later realised that £278million in assets either did not exist in the first place or weren’t registered to 777 or had already been used as collateral elsewhere.
This is what led to a federal lawsuit being filed on Friday, 3 May.
The report reads: “Many have questioned the financial health of 777 Partners, a Miami-based investment firm. It’s why the Premier League has hesitated to approve the group’s attempted takeover of Everton, despite owning stakes in teams in Europe and Australia.
“A federal lawsuit filed Friday may have put the final nail in the coffin.
“Leadenhall Capital Partners, a British asset management company, alleges in the suit that it had provided more than $600million (£477million) in funding to 777, before learning that about $350million (£278million) in assets either didn’t exist, weren’t owned by the firm, or had already been promised to other lenders. A slew of 777-related companies and individuals are named as defendants, including owners Josh Wander and Steven Pasko, and their biggest lender, Kenneth King and his firm A-Cap.”
Everton must instantly look for a 777 Partners alternative
The Toffees must urgently search for a new owner due to the financial instability and legal issues surrounding 777 Partners.
The recent lawsuit filed by Leadenhall Capital Partners, alleging that 777 Partners misrepresented assets and breached agreements, casts doubt on 777’s ability to financially support the club.This legal battle, combined with the Premier League’s reluctance to approve the takeover due to financial concerns, has put Everton’s future in jeopardy.
The club’s need for a new owner is further exacerbated by their own financial troubles, including a points deduction for breaching financial rules.
They require a stable ownership structure to ensure their long-term sustainability and compliance with Premier League regulations. A new owner with a strong financial background and a clear plan for the club’s future would help to stabilise their financial position and restore confidence among fans, players and investors.
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