“Latest on Everton Takeover: Key Requirements for the Complex Deal to Succeed”

John Textor is continuing discussions with Farhad Moshiri in an effort to finalize a complex deal to purchase Everton, but there is still significant progress to be made on the club’s latest takeover attempt.

According to sources, it is “unlikely” that an agreement will be reached this week, despite the intensified negotiations between Moshiri and Textor, who has entered an exclusivity agreement with Blue Heaven Holdings in his bid to acquire a 94.1% stake in Everton.

There appears to be a strong willingness from both parties to complete the deal, which would be the first of several steps toward a potential takeover.

Moshiri was in Merseyside for club-related matters this week, and Textor is also believed to be in the UK.

Textor aims to add Everton to his Eagle Football Group, which already includes Lyon, Botafogo, and Molenbeek.

However, he must first sell his 45% stake in Crystal Palace before the Premier League will approve any takeover.

A report in The Guardian suggested that Textor hopes to complete the deal by January, giving him time to find a buyer for his Palace stake.

Given the two failed takeovers earlier this year, Everton fans are likely to be cautious about these latest developments.

Some football finance experts have also raised concerns about whether Textor has the necessary capital to manage Everton’s substantial debt while also investing in the club’s future.

Additionally, there is a £200 million loan owed to the Friedkin Group, who withdrew from a deal to buy Everton last month. This loan would need to be repaid immediately upon a change in ownership.

Sources indicate there has been no communication between Textor and the Roma owners at this stage, and it is believed that the Friedkins would be reluctant to negotiate a payment plan with someone who already owns multiple football clubs.

Textor is reportedly prepared to pay off the debt and invest further funds to revitalize Everton, which is currently operating under financial constraints due to profit and sustainability regulations and the completion of the new stadium at Bramley Moore Docks.

A new owner is crucial for Everton’s future stability, and several parties have shown interest in acquiring Moshiri’s stake.

However, Textor, who first made an offer in June after the failed 777 Partners takeover, has emerged as the leading candidate.

Why is the deal complicated?

The primary issue is Textor’s stake in Crystal Palace, which prevents the deal from being approved by the Premier League, as the league has strict rules against owners holding majority stakes in multiple clubs.

There has been speculation that Textor could find a workaround while he sells his Palace stake, but football finance expert Kieran Maguire believes this is unlikely.

“Textor is trying to move too quickly. First, he needs to find a buyer for his 45% stake in Palace, and we don’t know what the American investors there want to do,” Maguire said.

“The problem is that while Palace is an attractive club, anyone looking to buy a stake would likely want a controlling interest, which Steve Parish doesn’t want to give up.

Until that issue is resolved, it doesn’t matter if he has exclusivity or a deal with Everton.”

Maguire also highlighted Everton’s significant debt burden, estimated at around £600 million, and the nearly £200 million owed to 777 Partners, who are involved in various legal disputes.

These complexities and uncertainties surrounding Everton’s debt are what deterred the Friedkin Group, leading them to withdraw from the sale.

“It’s a mess created by Farhad Moshiri—he attracts interest, but then the deal starts to fall apart,” Maguire added.

What is the Friedkin Group’s stance?

The Friedkin Group is observing the situation closely, having found Everton’s financial situation too complex to navigate.

They had loaned the club £200 million to repay MSP Capital’s loan and provide working capital to complete the stadium project.

This assistance helped stabilize Everton’s finances and allowed them to avoid a summer firesale of assets.

The loan is repayable upon a change of ownership and is secured against the new stadium, but sources emphasize that the Friedkin Group is “well-intentioned” regarding their debt.