11 Apr 2020 08:37:01
It's in the news today that the premier league have (for obvious reasons) postponed an investigation into everton over the naming rights option agreement with USM, Ed002 is this investigation a routine carried by the PL on all deals between clubs and prospective commercial partners, or should we Evertonians be genuinely worried? Obviously we all know of the links between Moshiri and Usmanov, but if their is no actual proof on paper that Usmanov is funding everton then surely the deal will not be in contravention of the rules?

{Ed002's Note - No it would not normally be a problem but as we have discussed before, the issue is him effectively putting a deposit of £30M on future naming rights worth £20M a year. The questions that need to be answered is in regards to (a) if it is a "fair market value" and (b) can Usmanov could be considered independent of the club given he has joint business interests with Moshiri.

There is little doubt that the answer to both questions is no and this was an attempt to inject money in to the club to ease a very significant problem the club has with Financial Fair Play. The club will get a break over FFP and such issues and should take the time to get the finances straight - this effectively means significant sales to start bringing the debts down and the reduce the crippling wage bill. The use of very, very expensive advisors over purchases needs to end.

A further problem which the Everton fans seem to be ignoring is the growing debt with a third party that I have explained before. They have effectively mortgaged the the club. And of course the new debt associated with the stadium development will put the club in a very difficult position for years to come.}

1.) 11 Apr 2020
11 Apr 2020 11:31:49
It’s not an investigation that just rubbish paper talk, as with all deals like this needs to be made sure it’s legit like Ed sats is it market value which is something that I don’t know how that works because value is only based on what one is willing to pay, if my house is worth 300k on market value but if someone offered 1million who can say No.

2.) 11 Apr 2020
11 Apr 2020 14:40:47
Pulling numbers out of thin air leaves us open to scrutiny Trueblue mate . As the Premier League proves every time tv rights are up for sale sealed bids is the best way to go . Unlike an auction where you only need to make one more bid than your competitor to win, with sealed bids someone could potentially pay you that £1m for your £300k house .

3.) 11 Apr 2020
11 Apr 2020 13:40:47
Yeah all deals need to be confirmed to be legit. so they investigate with aim of drawing a conclusion, if someone offered you 1 million pound for a house that was worth 300k then then it would raise serious questions wouldn't it?

4.) 11 Apr 2020
11 Apr 2020 22:12:45
I am confused with the third party growing debt, is this money Everton have borrowed towards the new stadium.

Other than that, all other debts Everton had outstanding have been paid off, with Moshiri giving Everton an interest free loan to pay those debts off.

In theory Moshiri now owns those debts.

{Ed002's Note - No, it is debt borrowed with the club put up as collateral. Everton is losing money and in breach of FFP through mismanagement of the club.}

5.) 11 Apr 2020
11 Apr 2020 22:51:54
This is what I cannot get my head round, other than future loans, For the new stadium, everything that was borrowed by Everton with the club as collateral has been cleared.

The majority shareholder had already pumped in £250m in the form of loans, which are treated as equity, to help fund transfers, new stadium plans and to tackle debt, for example.

But it has emerged that Moshiri injected an additional £50m during the last financial year, which covered a 13 month period from the end of May 2018 to the end of June 2019.

The billionaire has since topped that up by an extra £50m to bring his personal commitment to the club to eye-watering levels.

{Ed002's Note - No, Everton are calling down money from a third party - as I have explained over and over. The owner cannot simply pump money in to the club.}

6.) 12 Apr 2020
12 Apr 2020 10:51:46
is the 3rd party usmanov?

{Ed002's Note - No of course not.}

7.) 12 Apr 2020
12 Apr 2020 11:36:26
But then look at sandbanks house price jump over years that was not market value when it went boom.