US investment firm 777 outlines Everton takeover stance amid threat of points deduction

The American investment firm has agreed a deal with majority shareholder Farhad Moshiri, despite the prospect of a points penalty if guilty of breaking Financial Fair Play rules

Richard Jolly
Senior Football Correspondent
Thursday 26 October 2023 15:25 BST
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The Premier League is reported to have recommended Everton be docked up to 12 points over alleged breaches of financial regulations (PA)
The Premier League is reported to have recommended Everton be docked up to 12 points over alleged breaches of financial regulations (PA) (PA Archive)

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Everton’s takeover by the American investment firm 777 Partners remains on course, despite the possibility of a points deduction that could put the Merseyside club at greater threat of relegation.

The Premier League are reportedly pushing for Everton to be deducted 12 points during an investigation into possible breaches of financial regulations but 777 are adamant they still want to proceed with plans to complete a buyout.

Everton majority shareholder Farhad Moshiri has signed a deal with 777 Partners, who have invested in a range of clubs including Genoa, Sevilla and Hertha Berlin.

Everton were accused of breaking Financial Fair Play rules, which are supposed to limit clubs to a total loss of £105m over a three-year period.

But Everton announced losses £44.7m in 2022, £121.3m in 2021, £139.9m in 2020, £111.8m in 2019 and £13.1m in 2018.

The Premier League charged them in March though Everton have insisted they have complied with the regulations and their additional losses stem involve allowances clubs were permitted when Covid meant grounds were empty.

Everton disclosed all scenarios with 777 during talks and financial due diligence and the potential outcome was priced in to the structure of the deal.

A 12-point deduction would leave Everton, who only just avoided relegation in the last two seasons, on minus five.

Other potential punishments, if Everton are found guilty, could include a transfer ban or a fine, which West Ham were given for the third-party ownership of Carlos Tevez and Javier Mascherano in 2007.

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