777 Partners / Whatever the hell you like

[MikeH72]

Don't 100% agree with this.

If it's leveraged we'll instantly have a £500+mill debit against the club. Think Glazers

Our current debt is about £150mill. The £700mill pumped into the club is from Moshiri's back pocket not against the club (could be wrong).

So if it did happen...it's not good.

No it isn’t. That is wrong.

 

[Baggzio]

I hate Kenwright with a vengeance and the fact that balloon is still there is a disgrace and as for Morshiri well my thoughts are just as bad as if blue bill.

How bad can it get ? Well based on what I have read about these guys it’s a case of be careful what you wish for.

Mind you that’s true of almost all owners

Look in terms of "how bad it could get", I think we all know. We'd get relegated and likely liquidated. Fact is though we've been so close with Moshiri to that anyways, he was taking us there and for every day he runs the club he still is taking us there.

We were potentially half an hour away from this reality last season, a game away the season before that. The way I'd liken it at the moment is Moshiri is Lampard, 777 is Dyche. Lampard was taking us down, 100% and everyone could see it, so much so that when Dyche came in, even with a track record of some good, some bad, I don't think he'd have been blamed for us, most of the work to get us down had been done and he had a big job on his hands to keep us up.

Same goes here, if things get worse from here I sincerely believe that 777's hands would be tied a bit due to Moshiri's handling of the club. Let's just say for arguments sake they take over tomorrow and we get hit with a points deduction and transfer ban in October and subsequently go down, wouldn't be their fault at all. I know that's not a likely scenario but it's possible and it's all down to Moshiri and Kenwright, no one else.

 

[Tilling]

I firmly believe that Moshiri and Kenwright are the worst owner and chairman pair in football, easily... Literally anyone is an improvement on them. Anyone. 777 have some experience in running clubs, some good, some bad, they cannot be as bad as Moshiri and Kenwright have been for us though.

Again, no one can possibly be worse than Moshiri and Kenwright.

The Gang Goes Into Administration

 

[Baggzio]

Don't 100% agree with this.

If it's leveraged we'll instantly have a £500+mill debit against the club. Think Glazers

Our current debt is about £150mill. The £700mill pumped into the club is from Moshiri's back pocket not against the club (could be wrong).

So if it did happen...it's not good.

Aren't leveraged buyouts illegal or something like that now? I know the Premier League are incompetent but I really don't think they'd even dream of allowing a sale like that now, especially to a club like ours which they are well aware of being on the brink of financial ruin.

 

[kenada_blue]

No it isn’t. That is wrong.

Then correct it.

Does the club owe Moshiri £700mill then?

 

[stamullenblue]

I know nothing about 777 but don’t blame Moshiri for getting out as quick as he can.
I have no problems with him either, he pumped hundreds of millions into the club and got a new stadium underway, more than other chairmen ever done.
He obviously doesn’t know how to run a club or is being advised wrongly but to put him in the same category as Bill is ridiculous.
Moshiri got more money purely through sponsoring a training ground than Bill ever spent of his own money in his own time here.

Big problem is this sponsorship and other
USM advertising in the ground is why we are under scrutiny …

 

[chopper6]

I don’t know enough about all this and I’m also very concerned by their backgrounds and other clubs they are involved in.

So maybe someone can humour me here.

Why would they want to ‘kill us’ like I see so many saying? Surely that’s not viable business plan by them? If they want to flip us for a profit then surely it’s in their best interests to make us competitive & keep us in the Prem?

I also see the comments about them asset stripping us. Other than the stadium, what assets do we have to strip?!

To be clear I’m not defending them, just intrigued to learn more about why they’d want to kill us off, and how that benefits them by doing so?

 

[kenada_blue]

Aren't leveraged buyouts illegal or something like that now? I know the Premier League are incompetent but I really don't think they'd even dream of allowing a sale like that now, especially to a club like ours which they are well aware of being on the brink of financial ruin.

Premier League clubs vote to ban Glazer-style big-debt takeovers

Leveraged buyouts, such as the one that bought Manchester United in 2003, to be capped at around 65 per cent of a club’s value

www.telegraph.co.uk

In a statement, the Premier League did not specify the cap for leveraged buy-outs. It said: “As part of the League’s ongoing review of the Owners’ and Directors’ Test, clubs unanimously agreed to amend the test to prohibit fully-leveraged buyouts.”

It's believed to be capped at 65%

 

[The binman chronicles]

This literally is what’s happening.

We can surmise that by the fact he's not waiting until the stadium is built to then sell when likely there would be better offers but we don't know this to be 100% sure, if the amount of the takeover is relatively high perhaps it hit a threshold to get out of Dodge.

Then correct it.

Does the club owe Moshiri £700mill then?

We apparently owe 200 million to R&M
100 to MSP
200 odd left to pay LoR at the end of the year.

Then we owe whatever we owe to Moshiri that he hasn't yet converted into equity.

 

[Moomin]

They never had the funding to make a full, up-front purchase. It also wasn't what they wanted. Their deal was a 150 million loan with the upside of its convertibility to equity should Everton become worth something again. That 'stock option' had a zero dollar value, but that's often the case with executive stock options unless the company performs.

Sure, it came along with a roadmap to a full sale, but the club would have had to hit certain marks along the way.

Quite right in what you're saying but the landscape might have changed now.

We are all guessing at the minute but it seems that Moshiri has made the decision to not invest another penny or has no access to funds at the min with the Ukraine conflict.

He might be prepared or desperate to cut a deal to get his hands on some funds.

 

[MikeH72]

Then correct it.

Does the club owe Moshiri £700mill then?

Where have you got the £700m from? If you’re talking about transfer fees then that has come out of the football club. Has Moshiri spent £700m on shares? Because whatever he has spent on shares is the only money he has actually spent.

 

[Dublin blue 75]

We can surmise that by the fact he's not waiting until the stadium is built to then sell when likely there would be better offers but we don't know this to be 100% sure, if the amount of the takeover is relatively high perhaps it hit a threshold to get out of Dodge.



We apparently owe 200 million to R&M
100 to MSP
200 odd left to pay LoR at the end of the year.

Then we owe whatever we owe to Moshiri that he hasn't yet converted into equity.

Plus 40m to Andy Bell

 

[Martin Alvito]

Quite right in what you're saying but the landscape might have changed now.

We are all guessing at the minute but it seems that Moshiri has made the decision to not invest another penny or has no access to funds at the min with the Ukraine conflict.

He might be prepared or desperate to cut a deal to get his hands on some funds.

The answer probably is 'desperate', given the magnitude of the cash bleed. It's clear he's just throwing good money after bad by remaining in ownership. Either he plugs the hole in the boat out of his own pocket, or he cuts his losses.

I doubt that the problem is his own personal cashflow, based on the club's financials and what we know about his net worth. The problem is that he won't recover any value on his existing equity in a reasonable timeframe by increasing his existing equity position.

 

[kenada_blue]

We can surmise that by the fact he's not waiting until the stadium is built to then sell when likely there would be better offers but we don't know this to be 100% sure, if the amount of the takeover is relatively high perhaps it hit a threshold to get out of Dodge.



We apparently owe 200 million to R&M
100 to MSP
200 odd left to pay LoR at the end of the year.

Then we owe whatever we owe to Moshiri that he hasn't yet converted into equity.

Was going off the last set of books that said we have £150mill debt on the club and £150mill loan (which the worry was needing to be serviced on relegation).

The MSP money is new.

As it stands Moshiri hasn't called in the money he's put in.

The point being was that it's been said if 777 got involved it would be "better" than we are now

I don't see how a £500mill leverage is better.

 

[Mikey O]

Unfortunately, the present circumstances and parties involved is making me think of the problems and consequences experienced by Coventry and Leeds - losing their ground and relegation.

If 777 are as disreputable as posters here and elsewhere have suggested (and I've no reason to doubt them) then how could they possibly pass the Premiership's "fit and proper persons" standard?

I hope earlier posters are right and that Moshiri's distressed position is now seen by all and a better new owner comes forward.